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GoTyme Bank, the South African digital lender backed by billionaire Patrice Motsepe, plans to become the country's biggest retail bank by number of customers within a decade, setting a target of 30 million clients by 2036.
That would more than double its current base of 13 million customers and take it past Capitec Bank Holdings Ltd., which had 26.6 million personal and business clients at the end of August. GoTyme, known as TymeBank until January, is already the second-largest bank in South Africa by customer numbers.
"I want us to get to one in two South Africans as customers," Chief Executive Officer Cheslyn Jacobs said.
The target comes a few days after the bank said it had passed 13 million South African customers in its first year under the GoTyme name. Its net loans to customers more than doubled to R5.08 billion ($306 million) in that period, and customer deposits rose 27% to R9.69 billion ($584 million). The bank became Africa's first profitable standalone digital bank this year.
Sanlam deal and new rivals
Part of the plan rests on a partnership with Sanlam Ltd., Africa's largest insurer. From as soon as next year, the two companies plan to offer deposits, unsecured personal loans and life cover to Sanlam's customers. Sanlam expects to sign up 2 million to 4 million banking clients by 2030.
"Sanlam has what we believe is the best-in-market banking proposition to sell into their 9 million customers," Jacobs said.
The bank will also face fresh competition. Pepkor Holdings Ltd., Africa's largest clothing and mobile-phone retailer, plans to launch its own independent lender as early as next year, using a network of more than 6,000 stores in South Africa. Jacobs said Pepkor would be a serious rival. "They are the largest reseller of value-added services in the country, they sell a million smartphones a month," he said.
Capitec, which began in 2001 as a bank for low-income depositors, remains the market leader. It lifted headline earnings 19% to R9.5 billion ($572 million) in the six months through August.
Listing plans
African Rainbow Capital Investments, the investment group led by Motsepe, is GoTyme's majority owner. ARC bought the business from Commonwealth Bank of Australia at the end of 2018, and the bank opened to customers in 2019, selling accounts through kiosks in supermarkets and retail stores.
The wider group, which also runs GoTyme in the Philippines through a joint venture with the Gokongwei family's JG Summit Holdings, has more than 23 million customers across the two countries and signs up about 400,000 new clients a month. Tencent Holdings Ltd. is also a backer.
The global business was valued at $1.5 billion in December 2024, when Brazil's Nu Holdings Ltd., the parent of Nubank, invested $150 million as part of a $250 million funding round.
Jacobs said the bank could be ready for a stock market listing in three to five years, depending on market conditions and on reaching certain milestones. He put the valuation he is aiming for at more than $15 billion, ten times the 2024 figure.
"The business has to be in a certain state before you do a listing," he said. "Our business is showing that it can grow year on year."
Motsepe, 64, made his fortune in mining through African Rainbow Minerals Ltd. and is president of the Confederation of African Football.
Figures were converted at R16.6 to the dollar.
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