Silverbacks Nets 29x Return on LemFi Exit as Fintech Proves Resilient

TLDR
- Silverbacks Holdings has exited its investment in LemFi, the Nigerian remittance startup, during its $53 million Series B round in January 2025
- The Africa-focused private equity firm, an early backer of Flutterwave and Moove, followed its strategy of partial exits to return capital to investors
- Private capital exits in Africa have slowed since 2022. AVCA said exits fell to 43 in 2023, down 48% from the previous year
Silverbacks Holdings has exited its investment in LemFi, the Nigerian remittance startup, during its $53 million Series B round in January 2025, TechCabal reported. The exit delivered a 29x return on capital, marking Silverbacks’ eighth profitable exit and its fourth from a Nigerian fintech company.
The Africa-focused private equity firm, an early backer of Flutterwave and Moove, followed its strategy of partial exits to return capital to investors. Six of its eight exits have come from Nigerian tech-enabled companies. “This 8th profitable exit, which delivered 29x cash invested, is another testament to the quality of our portfolio’s founders,” said Ibrahim Sagna, executive chairman of Silverbacks Holdings.
Private capital exits in Africa have slowed since 2022. AVCA said exits fell to 43 in 2023, down 48% from the previous year. By Q3 2024, only 31 had been recorded. Silverbacks’ portfolio spans sports, media, and tech. It holds stakes in Reliance, Gozem, Shuttlers, Carry1st, and the Cape Town Tigers. The firm also recently invested in African Warriors Fighting Championship and added Sanford Climan, CEO of Entertainment Media Ventures, to its advisory board.
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Key Takeaways
Nigeria’s fintech sector has become the most consistent source of investor returns in Africa’s startup space. While broader exits in African private equity have declined since their 2022 peak of 82, the Nigerian fintech ecosystem has remained an outlier. Notable exits like Oui Capital from Moniepoint, Alitheia from Baobab, and now Silverbacks from LemFi, show a clear pattern: financial technology continues to offer liquidity opportunities, even in a tighter capital environment. The country’s large unbanked population, cross-border payment needs, and mobile penetration have attracted both local and international capital. LemFi, which provides remittance services to the diaspora, is part of a growing class of infrastructure-focused startups solving real payment and access gaps. These exits are vital to recycling capital in African ventures and provide track records for fund managers seeking to raise new funds. As IPOs remain rare, trade sales and strategic acquisitions—especially in fintech—are now critical for the continent’s venture maturity.






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