Paystack has launched a new holding company, The Stack Group (TSG), to continue its expansion beyond payments into banking, consumer finance, and AI-driven product development.
According to Paystack’s statement to Techpoint Africa, the launch of TSG is an important step for the company as it achieves profitability.
The holding company will sit on top of a separate but complementary group of businesses, including Paystack, Paystack Microfinance Bank, Zap and TSG Labs. This newly formed venture studio will develop products within and outside of financial services.
The agreement establishing the group was signed in October 2025 and is pending regulatory approval.
The launch comes as Paystack celebrates its 10th anniversary and signals a shift from primarily being a payments processor to building broader technology and financial infrastructure for African businesses.
Since being acquired by Stripe in 2020, Paystack says its payment value has increased more than 12x.
The company operates under license in Ivory Coast, Ghana, Kenya, Nigeria and South Africa, with regulatory approvals underway in Egypt and Rwanda, markets that account for approximately 46% of Africa’s GDP.
The establishment of TSG follows Paystack’s recent acquisition of Ladder Microfinance Bank (MFB) to establish Paystack MFB in Nigeria.
Paystack MFB operates as an independent, regulated bank, enabling the Group to internalize its core financial rails and build banking and credit infrastructure for over 300,000 Nigerian merchants. This move will reduce dependence on partner banks and enable faster development of end-to-end funds transfer products.
In addition to merchant and banking businesses, TSG also includes Zap, a consumer payments product.
In addition to the new holding company, TSG Labs has also been established, which Paystack says will focus on developing new products that leverage emerging technologies such as AI.
The Venture Studio will operate independently of the group’s regulated entities, allowing Paystack to experiment with AI-driven products without exposing its core financial business to regulatory risk.
TSG’s founding shareholders include Stripe, Paystack founder and CEO Shola Akinlade, and existing Paystack employees. Stripe remains a shareholder in Paystack following its $200 million acquisition in 2020, underscoring its continued long-term commitment to the company.
Commenting on the announcement, Akinlade commented that the establishment of TSG reflects Paystack’s expanding ambitions beyond payments.
“There is a huge opportunity to support business beyond payments, and TSG will enable African businesses to meet the challenges they will face over the next decade,” he said.
With the introduction of TSG, Paystack is positioning itself not just as a payments company, but as a technology group betting on banking, consumer finance, and AI as its next growth engine.
