South Africa's Standard Bank has bought a majority stake in Firepay, the local startup behind popular QR code-based mobile payments service SnapScan. Financial terms have not been disclosed.
Standard Bank and Firepay teamed up to launch SnapScan in 2014 and have signed up some 30,000 merchants and hundreds of thousands of consumers.
Merchants sign up online to receive a unique QR code that they can then print out and place at their point of sale. To pay, users open the SnapScan app, tap on 'Scan' and scan the code displayed at the shop. This identifies the shop and prompts the users to enter the amount they wish to pay. A four-digit PIN is required to secure and complete the transaction.
Standard Bank is now taking a controlling interest in its partner, which will keep its existing management team in place and continue to operate as before, open to customers of all banks.
Lincoln Mali, head, cards and payments, Standard Bank, says: "This acquisition is yet another testament to Standard Bank's commitment to innovation and working with industry leading fintechs to bring relevant solutions to customers."