Lemfi, a remittance startup catering to African immigrants across 22 countries, has raised $53 million in a Series B funding round. This latest investment will fuel the company’s European expansion, following its acquisition of an Ireland-based firm.
The Series B round was led by Highland Europe, a London-based growth-stage investment firm known for backing startups generating over €10 million in annualized revenue. Additional funding came from existing investors, including Endeavor Catalyst, Left Lane Capital, Palm Drive Capital, and Y Combinator. Since its inception in 2019 by Ridwan Olalere and Rian Cochran, Lemfi has secured a total of $85 million in funding, positioning itself as a leading player in the global remittance market.
Lemfi’s European operations have been strengthened by its partnership with Modulr and the recent acquisition of an Ireland-based firm. This acquisition enables the company to operate independently in Europe starting next month. The startup plans to secure additional licenses and partnerships to enhance its localized services for customers. They are set to introduce a customer card for users in the US, the UK, and Canada while also expanding its workforce. The company generates revenue from transaction fees and foreign exchange spreads across its operating countries.
Lemfi is currently processing $1 billion in monthly payment volume, a substantial increase from the $2 billion in annual transaction volume reported in 2023. Over the past two years, the startup has doubled its user base, revenue, and transactions.
Ridwan Olalere, co-founder of Lemfi, attributed this rapid growth to strong adoption in the Asian corridor, which generates $160 million in monthly transaction volume (TPV) and has been growing at 30% monthly since its launch in 2024.
After entering the US in 2023, Lemfi expanded into key remittance markets, including China, India, and Pakistan, in 2024. The startup bolstered its expansion strategy by recruiting C-suite executives from industry-leading companies like Terrapay, DeliveryHero, and OPay.
