African payments fintech Flutterwave and existing Railsr shareholders have reportedly planned to acquire the UK-based Banking-as-a-Service company, according to Sky News . Sky News writes that the BaaS fintech has talks with potential buyers regarding its acquisition that would reportedly happen at a discount to an earlier funding round.

Previously known as Railsbank, Railsr has multiple offers from companies that includes Flutterwave, leading to its valuation becoming a multi-billion dollar one. The publication states that several existing Railsr investiors formed a consortium to purchase the BaaS fintech. Besides BaaS, Railsr is specialised in other embedded finance solutions such as digital wallets and credit cards.

One source declared that there is a heavy competition for this acquisition. In a time when the fintech sector struggles to find funding essential to survive, Railsr reportedly received multiple rival offers. Near the end of 2022, Railsr secured a USD 46 million funding round which was meant to ensure enough capital for the company.

So far, the outcome and timing of the reported sale are still unclear. Sky News states that Raislr partnered with bankers from FT Partners for multiple strategies, including its sale. More about Railsr Railsr has previously acquired assets from the bankrupt Germany-based company Wirecard.

In an interview for The Paypers, Nigel Verdon, Railsr's founder, has claimed that Banking-as-a-Service is reshaping the financial industry similar to the way Apple did it with the music industry when they introduced iTunes. In November 2022, the embedded finance platform partnered with US-based Everi to develop an embedded credit and loyalty offering for the casino industry. The partnership between these two companies will allow land-based casinos to interact with their clients off-site via a branded retail credit card that includes rewards and perks.

During the same month, Railsr has launched Insights, a dashboard to help brands track, manage, and improve the end-to-end experiences of their customers. Insights allows brands to track customer data such as account approval rates, card activation rates, the average time to first conduct a transaction, the average transaction amount, average balances, where transactions are made, and total spending. Previously in November, Railsr teamed up with fraud and financial crime prevention Featurespace to boost protection for Railsr customers and their consumers.

So far, Railsr raised more than USD 100 million in equity funding, with backing from investors including Visa. When approached by Sky News, Railsr declined to comment. .