Cellulant, a prominent African payments company has opted to pivot its operations away from the Nigerian mobile money sector, subsequent to the Central Bank of Nigeria (CBN) revoking its mobile money license.
The CBN’s decision to revoke Cellulant’s mobile money license stems from the company’s own choice to discontinue operations under the license, as elucidated by the regulatory body.
Clarifying the circumstances surrounding the license revocation, Cellulant emphasized that the action was not prompted by any regulatory infractions or breaches. Rather, it was a culmination of a protracted process initiated by Cellulant itself, with the regulatory steps formalized through gazetting in December 2023.
The company explained that its strategic transition towards providing payment services predates the license revocation, dating back to 2021. This strategic shift culminated in the acquisition of a Payment Solution Service Provider (PSSP) license from the CBN, a pivotal milestone that aligns with its renewed focus.
Notably, Cellulant’s PSSP license empowers the company to deliver a comprehensive suite of online and offline payment solutions, including collections, check-out, biller aggregation, and payout services, catering to a diverse array of businesses across Nigeria.
Originally established in 2002 as a music streaming platform, Cellulant has evolved into a fintech powerhouse, offering a wide spectrum of services encompassing digital payments and ecosystem management. The company’s footprint spans across 18 African nations, boasting an extensive network comprising retailers, merchants, banks, mobile network operators, governments, and international development partners.
Despite its transformative journey, Cellulant has encountered its fair share of challenges. In early 2023, the company initiated a restructuring process amid difficulties in securing funding. Subsequently, the company underwent multiple rounds of layoffs throughout the year, citing strategic operational adjustments aimed at enhancing efficiency and fostering growth.
Fast forward to January 2024, Cellulant witnessed a change in leadership as CEO Akshay Grover stepped down to focus on personal matters, marking another chapter in the company’s evolution.