Katlego Maphai, the co-founder and long-serving CEO of South African fintech company Yoco, has announced his intention to step down from his role after more than a decade. He shared this decision in a LinkedIn post, stating that after much reflection, it became clear that the skills necessary for starting and building a company differ from those required for scaling it further.
Since its establishment in 2013, Yoco has become a significant player in South Africa’s payments sector, catering to hundreds of thousands of small businesses and processing billions in card payments annually. The company has been instrumental in facilitating digital payments for small merchants who have traditionally been excluded from formal financial systems.
The leadership of Yoco will remain in the hands of its founding team, with co-founders Lungisa Matshoba and Bradley Wattrus stepping in as co-CEOs. Matshoba will oversee innovation and product growth, while Wattrus will concentrate on governance and scalability. Another co-founder, Carl Wazen, will continue to lead the company’s go-to-market and commercial operations.
Maphai will still be involved with Yoco as a founder, focusing on long-term strategic projects. He expressed his commitment to the company, stating that while it is time for new leadership, he will remain engaged in its future.
Yoco has emerged as one of South Africa’s most notable fintech success stories, garnering significant investor interest over the last ten years. In 2021, the company raised $83 million (approximately R1.2 billion) in a Series C funding round led by Dragoneer Investment Group, with participation from Breyer Capital and 4DX Ventures, among others. This funding was one of the largest single rounds for a South African fintech at that time.
The company has utilised this capital to broaden its product offerings beyond card machines, incorporating online payments, point-of-sale solutions, and tailored financial services for small and medium-sized enterprises. Additionally, it has invested heavily in creating an open commerce platform aimed at integrating small businesses into the digital economy while exploring expansion into other African markets.
As competition in the payments industry heats up, with rivals like iKhokha and international players targeting South Africa’s SME market, Yoco’s strong brand recognition and merchant-first approach have helped it maintain a leading position. The next phase under the new leadership will be crucial in determining whether Yoco can replicate its local success on a larger scale across the continent.