Fawry, Egypt's fintech unicorn, has made a significant move to expand its B2B fintech vertical by acquiring stakes in three Egyptian tech startups: Dirac Systems, Virtual CFO, and Code Zone. The investment of EGP 80 million ($1.6 million) is part of Fawry's broader strategy to strengthen its position in the enterprise market.

Dirac Systems, which specializes in enterprise resource planning (ERP) solutions, counts large retail chains like Coca-Cola among its clients. Virtual CFO offers financial management services tailored for startups and SMEs, providing expertise without the overhead of a full-time CFO. Code Zone is a strategic tech infrastructure acquisition meant to enhance Fawry's technological capabilities.

Fawry's latest move is part of a bigger shift seen across fintech companies in Africa, where the focus is shifting from consumers to enterprise clients. For example, Nigeria's Flutterwave laid off 24 employees to double down on enterprise and remittances, two of its biggest revenue drivers. South Africa's Stitch acquired ExiPay, an offline payment infrastructure provider, to entrench its value offering to the enterprise market it already serves.

For Fawry, the incentive to focus on enterprise services is clear: it's where the money is. In its 2024 half-year results, "Fawry Business," which includes banking services, financial solutions for SMEs, and supply chain digitization, emerged as its biggest revenue driver. Banking services saw a 70.2% year-on-year (YoY) increase, bringing in EGP 932.1 million ($18.4 million). Financial services recorded the highest growth at 113% YoY, though it generated less overall—EGP 377.7 million ($7.5 million). Meanwhile, supply chain solutions added EGP 160.1 million ($3.1 million) to the business.

With these acquisitions, Fawry will deepen its services to large and small enterprises, and financial institutions, expanding its potential revenue basket. Despite what seems like positive news, investor sentiment is saying otherwise; Fawry traded at EGP 8 ($0.16) on the EGX at the close of market on Thursday, declining by 0.12%. However, the fintech giant will hope that this is only a minor slump as it picks up pace in the coming weeks leading to the announcement of its full-year financial performance.

Fawry currently has a market cap of EGP 26.49 billion ($523 million), nowhere near the $1 billion valuation that made it Egypt's first unicorn before it went public. Yet, it remains one of the country's most important fintechs.

In other news, Africa's internet is one cable cut away from chaos, with the continent relying on just a handful of submarine cables. Solutions exist, including regional investment in repair ships, faster government approvals, and more private-sector funding. The International Telecommunication Union (ITU) and the International Cable Protection Committee (ICPC) are pushing for better policies, but until governments and businesses act, Africa's internet will remain vulnerable.

Meanwhile, Showmax, the streaming service owned by MultiChoice, has introduced a new mobile plan in Nigeria, offering a promotional deal called "Showmax Shikini Season." New and returning subscribers can sign up for the General Entertainment (GE) Mobile plan at ₦1,000 ($0.67), down from ₦1,600 ($1.07), while the All Devices plan will be priced at ₦2,000 ($1.33) instead of ₦3,500 ($2.33).

In funding news, SolarAfrica, an energy company, secured $98m in funding to implement the first phase of its 1 GW SunCentral solar project in South Africa. Investec and RMB backed the investment. Togo-based super app Gozem raised $30m in Series B funding, comprising $15m in equity and $15 M in debt. SAS Shipping Agencies Services and Al Mada Ventures led the funding round.