Nubank has made a significant investment as the lead investor in Tyme Group’s latest Series D funding round.
The total amount raised in this round reached $250m, with contributions including $150m from Nubank, $50m from M&G Catalyst Fund, and an additional $50m from existing shareholders.
Tyme Group, founded in 2019 and headquartered in South Africa, operates one of the fastest-growing digital banks worldwide. The bank boasts a substantial customer base of 15 million, with operations spanning South Africa and the Philippines, highlighting its robust presence in emerging markets.
The funds from this investment round will be strategically utilized to further enhance Tyme Group’s innovative hybrid banking model. This model uniquely combines a customer-centric digital platform with physical customer service elements, offered through partnerships with nationwide retailers via digital kiosks and bank ambassadors. Tyme Group’s approach aims at providing affordable banking solutions while maintaining a lower cost structure than traditional banks.
Further plans for Tyme Group include using the new capital for expansion into new regions, with a specific focus on opening operations in Vietnam, as part of its broader strategy to consolidate its footprint in Asia and Africa.
In a statement from Nubank’s CEO, David Vélez highlighted the strategic alignment between the two companies. “Since the beginning of Nubank, we have believed that the future of financial services globally is of digitally-native companies. We have met dozens of teams across different geographies, and we think that Tyme Group is extremely well-positioned to be one of the digital bank leaders in Africa and South East Asia. We are excited to work with Tyme to share many of our learnings of scaling this model to hundreds of millions of customers,” he said.
Coen Jonker, Chairman and co-Founder of Tyme, also expressed his enthusiasm about the investment, stating, “Nubank revolutionized financial services and having them as a shareholder will help build rapport to our model, execution and expansion plans, both financially and through business counsel. We are focused on improving the financial lives of millions of people in our region, and we are energized by this round of investments to keep pushing forward.”
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