Standard Bank eyes stake in OPay ahead of $4bn US IPO

Standard Bank Group is considering the acquisition of a stake in OPay, a Nigerian fintech company, as the payments platform prepares for a potential Initial Public Offering (IPO) in the United States that could value the company at about $4 billion.

Discussions between Standard Bank and OPay are at an early stage, meaning they could still end without a transaction. The proposed investment would give the South African banking group exposure to one of Nigeria’s largest digital financial services platforms ahead of its planned entry into public markets.

The talks come as OPay moves closer to a US listing. Fintech has engaged Citigroup, Deutsche Bank and JPMorgan Chase to work on the proposed offering, which could take place later this year.

The banks are expected to help coordinate the listing, although the final timing and size of the share sale have not been determined.

OPay is targeting a valuation of approximately $4 billion, representing a significant increase from its $2 billion valuation when it raised $400 million in a 2021 funding round led by SoftBank.

The company was subsequently valued at about $3.1 billion based on Opera Limited’s disclosed valuation of its 9.5 percent OPay holding in 2025.

A successful listing at $4 billion would make OPay one of the most valuable Nigeria-focused technology companies to access US public markets. It would also mark a major milestone for Africa’s fintech sector, where digital payments companies have expanded into areas traditionally dominated by commercial banks.

OPay has built a substantial presence in Nigeria through mobile payments, money transfers and other financial services. Its growth reflects the rapid adoption of digital financial services in a country where millions of consumers and businesses rely on fintech platforms for everyday transactions.

For Standard Bank, a potential OPay investment could strengthen its exposure to Africa’s rapidly expanding digital financial ecosystem. The bank already operates extensively across the continent, including through Stanbic IBTC in Nigeria, and has focused on digital financial services as part of its broader strategy.

Standard Bank describes its African operations as a core component of its group structure.

The potential deal also highlights the changing relationship between traditional banks and fintech companies. Rather than simply competing with digital platforms, large banks are increasingly looking for ways to participate in the growth of companies that are reshaping payments, lending and consumer finance.

OPay’s proposed IPO comes at a time when investors are closely watching whether African fintech companies can translate rapid user and transaction growth into sustainable public-market valuations.

The company would also face the challenge of convincing international investors that its Nigeria-focused business can generate durable dollar-denominated returns despite currency volatility and intense competition.

An OPay listing would follow earlier US market debuts by African technology companies, including Jumia and IHS Holding, but would be significant because OPay’s business is heavily focused on financial services and the Nigerian market.

For now, neither Standard Bank nor OPay has publicly confirmed that a stake purchase agreement has been reached. The reported discussions remain preliminary, while OPay continues preparations for a potential US listing.

If completed, however, Standard Bank’s investment could give the traditional banking giant a foothold in OPay before the fintech’s public-market debut and potentially position it to benefit from any increase in the company’s value following the IPO.