OPay raises $304m in US IPO, valued at $4bn

SoftBank-backed Nigerian fintech company OPay has raised $304 million in its initial public offering (IPO) in the United States, securing a valuation of approximately $4 billion as it seeks to expand its presence in the growing digital financial services market. The fintech firm, which focuses on Nigeria and other emerging markets, sold 16 million American depositary shares at $19 each, according to a report by Reuters on Friday. The offering price was at the lower end of its targeted range of $19 to $21 per share. OPay’s listing comes amid challenging market conditions, with persistent inflation and a selloff in artificial intelligence-related stocks weighing on investor sentiment.

The uncertainty has prompted several companies to postpone their planned listings as market volatility and concerns over valuations make it increasingly difficult to attract investors and secure favourable pricing. Founded in 2018, OPay provides digital financial services across emerging markets, including Nigeria and Indonesia. Its platform offers payments, money transfers, savings and loans through a single application, targeting gaps in banking infrastructure and limited access to traditional financial services in developing economies. The company was founded by Chinese billionaire Yahui Zhou, who also established Beijing Kunlun Tech, a Chinese gaming company that previously owned dating application Grindr. OPay previously raised $400 million in 2021 at a valuation…