Nigerian Fintech LemFi Sets Eye On Asia With $53M Funding

With the mass departure to other countries, remittances have become a boost to families and economies. In 2023, inflows exceeded $669 billion, accounting for substantial portions of the GDP of most countries in Africa and often surpassing foreign direct investment as the primary source of foreign exchange.

Nigerian-London-based fintech LemFi is simplifying the ways immigrants are sending money back home. Buoyed by its unparalleled growth since its founding, the company has raised $53 million in fresh funding with the aims of accelerating customer acquisition and expanding its presence in countries, and continents, particularly Asia.

Since its founding in 2020, LemFi has experienced rapid growth by serving diaspora communities in North America and Europe, enabling fund transfers to emerging markets across Africa, Asia, and Latin America. The fintech, now four years old,

Now, four, and boasts of over one million active users who rely on its multi-currency accounts to transfer funds to countries such as Nigeria, Kenya, India, China, and Pakistan, among others, LemFi last week solidified its European presence with a partnership with embedded finance provider Modulr. This partnership facilitates LemFi’s operations for the meantime as it awaits its licensing in Europe next month following the acquisition of a Republic of Ireland-based firm. With this expansion, LemFi now operates in 27 send-from markets and 20 send-to countries, generating revenue from transaction fees and foreign exchange spreads.

In April 2024, co-founder, Ridwan Olalere disclosed that LemFi has performed over $2 billion in annual transaction volume in 2023. Today, the company processes $1 billion in monthly payment volume, with $160 million of that coming from the Asian corridor, where transactions have grown 30% month-on-month within a year of launch.

LemFi’s remarkable growth—doubling users, revenue, and transactions in two years—has drawn investor confidence. The $53 million Series B funding round, led by Highland Europe, brought its total funding to $85 million. Existing investors such as Left Lane Capital, Palm Drive Capital, and Y Combinator also participated, alongside new backers like Endeavor Catalyst.

The new funds will support LemFi’s plans to expand offerings, scale payment network licenses and partnerships, and recruit talent for its next growth phase. The company currently employs over 300 staff across Europe, North America, Africa, and Asia.

“Although navigating regulations across markets remains complex, our adaptable technology enables seamless integration with diverse payment methods and schemes,” Olalere said. “This year, Europe will be a key focus as we continue expanding to markets with significant immigrant populations.”

With eyes set on Asia, LemFi will face stiff competition from platforms like publicly-listed Remitly. Zepz and Taptap Send, which remain privately owned, will jostle with LemFi.