Rally Cap Completes Partial Exit from South African Fintech Stitch
Rally Cap firm has partially exited its investment in South African fintech Stitch after the company secured a $55 million Series B funding round. Though the investment size and returns were not disclosed, the exit stands out as a significant development in Africa’s evolving startup exit scene.
Rally Cap was founded in 2020 by Hayden Simmons as an investment collective before launching its first $30 million fund in 2022. By 2024, the firm expanded its scope with a $5 million climate tech fund, reflecting increased founder interest and a strategic shift beyond its initial fintech focus.
“At the time, we noticed that many of the most exciting conversations with founders were happening in the climate space,” Simmons said. “This aligned with our internal push to expand our mandate beyond just fintech.”
Rally Cap usually invests between $200,000 and $500,000 in early-stage startups at the pre-seed and seed levels. Its African portfolio features companies like Termii, Circadian, Precium, and Cauridor.
Stitch has experienced significant growth, securing a $55 million Series B round in April 2025. The raise was led by QED Investors, Norrsken22, Flourish Ventures, Glynn Capital, and prominent angel investors including Trevor Noah.
Earlier in 2025, Stitch acquired ExiPay and rebranded it as “Stitch In‑Person Payments” to offer in-person card and alternative payment solutions for enterprises and retail businesses. More recently, the company finalized its acquisition of Efficacy Payments, securing direct card acquiring capabilities within South Africa.
Rally Cap’s partial exit from Stitch reflects a growing emphasis on exits within Africa’s startup ecosystem. Although funding rounds have increased in recent years, notable exits are still relatively uncommon.
However, some investors are now seeing meaningful returns. For example, Oui Capital’s $150,000 early bet on Moniepoint has grown to $8 million enough to repay its entire fund while Silverback Holdings recently achieved a 5x return from its stake in OmniRetail.
These shifts suggest a maturing ecosystem, where investors are increasingly finding tangible liquidity routes, a key indicator of early-stage investing’s sustainability in Africa. Rally Cap’s Stitch exit underscores this momentum, strengthening the narrative for more venture-backed wins across the region.
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