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Paystack, the Nigerian payments company co-founded by Nigerian software engineer Shola Akinlade, has reorganized its operations under a new holding company, The Stack Group, as it reports group-wide profitability and steady monthly cash flow.
The new structure brings Paystack, its consumer app Zap, Paystack Microfinance Bank and a venture studio under one umbrella, marking a clearer break from its single-product roots and a wider push beyond merchant payments.
Stripe acquired Paystack for $200 million in 2020, making it a wholly owned subsidiary. The Stack Group introduces a different setup. It is jointly owned by Paystack’s chief executive officer, Akinlade, Stripe and Paystack employees, known internally as Stacks. The company declined to disclose ownership percentages.
“The idea is simple,” said Amandine Lobelle, chief operating officer of The Stack Group. “People building the business should share in its growth, while we continue to benefit from Stripe’s long-term partnership.”
Paystack shifts to holding structure
The reorganization follows a year of quiet changes. With the launch of Zap and the rollout of Paystack Microfinance Bank, the company has moved into consumer payments and banking, areas with different risks, rules and customer expectations than merchant processing.
Placing these units under a holding company allows Paystack’s core payments business to stay focused, while newer products develop without confusing merchants, regulators or partners. Each unit will run on its own roadmap, while drawing on shared governance and culture at the group level.
The structure also simplifies regulation. Payments, banking and consumer finance are licensed and supervised differently in Nigeria. Housing them separately limits spillover risk if one unit runs into regulatory or compliance issues.
Paystack expands beyond payments
Founded in 2015, Paystack built its name by offering a simpler and cheaper way for Nigerian businesses to accept online payments. It later expanded across Africa and now operates in seven countries, processing trillions of naira in transactions each month.
Profitability has given the company room to test new ideas without putting pressure on its payments margins. Those efforts include Zap, Paystack Microfinance Bank and TSG Labs, a venture studio exploring new products, including those using emerging technologies.
“We are still firmly rooted in financial services,” Lobelle said. “But we are open to solving problems that sit next to fintech or slightly beyond it, if they matter to African businesses.”
Deal targets Nigeria’s $32 billion SME gap
In January 2026, Paystack acquired Ladder Microfinance Bank, which it rebranded as Paystack Microfinance Bank. The deal gives the group a banking license and a platform to offer loans and digital banking to small and medium-sized businesses.
Nigeria’s SME financing gap is estimated at about $32 billion. Akinlade said the new structure gives Paystack a more practical way to address that need, while keeping each business accountable on its own terms.
“After working with thousands of businesses since 2016, we know payments are only one part of their challenges,” he said. “This setup lets us respond more directly, without losing focus on what we already do well.”
