Verdant Capital has an extensive and diversified track record of advising companies across the Continent since 2013. Verdant Capital has completed or is currently executing transactions in 21 African countries.
Johannesburg, August 10, 2022: Verdant Capital has raised USD 10 million of debt funding for Zeepay. The medium-term debt raise, which forms part of its A.5 series, comes to support Zeepay in a bid to augment its fast-growing remittance to wallet business. The debt funding is intended to support the rapid growth of the business. In 2021, the company processed USD 1.8 billion of transactions volumes, cross-border and domestically. It is the vision of the Founder and Managing Director, of Zeepay, Andrew Takyi-Appiah I, to reach the milestone of USD 200 billion of annual transaction volumes in the long-term. […]
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In an environment susceptible to external shocks, Trader Direct offers a way for informal retailers to grow their businesses with minimal risk. Even a small increase in monthly sales can have a huge impact on the lives of informal retailers and their families. Nomanini serves a high proportion of first-time digital finance users. 82% of these retailers are accessing a service like Trader Direct for the very first time and cannot easily find a good alternative. This indicates that Nomanini is providing a service that agents would struggle to find elsewhere as well as filling a pertinent gap in the […]
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Tugende, the innovative fintech platform for MSME credit and asset-financing in East Africa, has closed an additional EUR 2.5 million in debt financing from a leading European impact investor whose mandate is to support the growth of MSMEs across the African continent. The investment strengthens Tugende’s balance sheet, allowing it to continue growing its portfolio and address a significant credit demand amongst MSMEs, particularly after the strict lockdowns of 2020 and 2021. Tugende continues to deliver this MSME support with award winning positive social impact to its clients and their beneficiaries. A further accolade for Tugende’s business model was achieved when […]
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UsPlus, a fast growing South African based specialist SME financing firm, has on the back of the further successful debt raise through its ZAR 1 billion Domestic Medium Term Note Programme as announced on SENS on 12 May 2022, successfully raised USD 10 million (approx. ZAR 162 million) in debt funding from a leading US Impact Investor. This recent facility will take UsPlus’ book of total receivables to USD 17 million (approx. ZAR 270 million), and broadens the range of blue chip institutional Funders. UsPlus was founded in 2015 in Johannesburg, South Africa, with the mission of providing flexible working capital […]
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Finclusion Group Limited successfully consolidated its operations in Kenya and Tanzania, in a transaction that saw it increase its stake in TrustGro SCA Limited (“TrustGro”), Fikia Finance Limited (“Fikia”) and awamo Uganda Limited (“awamo”) to 100%. Further to the consolidation of TrustGro, Fikia and awamo, Finclusion is currently expanding its South African footprint by integrating Commonwealth Financial Services (Pty) Limited (“Medifin”) into the Group building out its BNPL presence materially. Medifin focuses on financing life changing loans to support medical procedures, predominantly originated through medical practitioners (channel partner model). In conjunction with the integration of TrustGro, Fikia, awamo and Medifin, Finclusion […]
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MFS Africa has completed the acquisition of Baxi taking its footprint into Nigeria, Africa’s largest economy and perhaps its most dynamic fintech market. The transaction was first announced in November 2021 pending approval of the Central Bank of Nigeria, which has now been achieved. As well as providing a market entry into Nigeria for MFS Africa, the combination provides exciting synergies: Baxi simplifies and integrates online and offline payments for SMEs and merchants in Nigeria through its omni-channel distribution network; MFS Africa simplifies cross-border payments, integrating payments via one hub. Baxi’s growth has accelerated over the last 24 months achieving […]
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Planet42 has successfully raised USD 3.4 million in equity funding from leading South African investor, Naspers. Naspers invested USD 3.4 million through its Naspers Foundry business. This funding round is a precursor to a Series A capital raise in 2022. Planet42 provides alternative vehicle finance through its Rent-To-Buy model in South Africa. The company’s target clients are the underbanked South Africans who are otherwise unfairly ignored by the local banks. The company uses its proprietary scoring algorithms to vet potential clients. These algorithms cover a wider set of data points as compared to traditional scoring systems used by banks thus […]
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Verdant Capital’s 2021 survey peered through the lens of DFIs / MIVs to unpack the current investment landscape within the context of the prevailing Covid-19 pandemic. The results point a positive investment outlook on the African Market. The key insights, as packaged in the summary statements that follow, reflect on – portfolio performance, adaptations by both MIVs and MFIs to the Covid-19 environment, and the future growth of the inclusive finance/ microfinance investment industry. 84% of participants reported that their microfinance/inclusive finance investments in Africa performed either at par or above par when compared to their other global investments. […]
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Tugende, East Africa’s leading innovative MSME credit and asset-financing business, has closed an additional USD 16 million in debt financing. The overall funding round has been structured to include a subordinated debt tranche into the Ugandan subsidiary providing partial equity credit to be leveraged by senior lenders, as well as senior debt funding for its younger but rapidly growing Kenyan subsidiary. This latest round of debt funding was led by a leading European development finance institution (“DFI”), existing MSME-focused impact investors that increased their commitments to Tugende, and a decentralized credit platform backed by an iconic Silicon Valley-based venture capital […]
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Verdant Capital is pleased to have advised Briisk on an investment by DEG. DEG is a leading international development finance institution and a subsidiary of KfW, Germany’s development bank. Briisk is an insurtech company which enables insurance from a financial inclusion perspective across developing markets. The company is a SaaS platform developer and it uses these platforms to link insurers with its extensive distributor network to access end user customers on a mass scale. Briisk targets 2.9 billion underinsured individuals and small businesses in c.40 countries in Africa, India and Turkey. To date the company has transacted more than 1 […]
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The insurance sector in Africa is underpenetrated vs most of the world. Given complexity, accessibility and inflexibility, insurance is seen as being a product “that is only available to the rich”. Alpha Direct is Africa’s only risk carrying Insurtech focused on delivering simple, affordable and accessible insurance products for Africa’s growing consumer market, using cloud, big data and AI. The company has become the fifth largest short-term insurance underwriter in their home market in under five years, and is now focused on regional and continental expansion across Africa as well as entering the long-term insurance market. The company recently won […]
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Kibo Capital Partners (“Kibo“) has sold its stake in the Kenyan logistics company General Cargo Group (“GCG“) to Velogic, the logistics arm of the Mauritian-based Rogers Group. Verdant Capital is pleased to have advised Kibo on this transaction. Kibo, which is focused on small and medium-sized enterprises in Sub-Saharan Africa and the Indian Ocean countries, has around $100 million in assets under management. It has backed 17 companies across nine countries. Verdant Capital is active in East African advisory and was ranked 3rd by DealMakers Africa for East African M&A in 2020. 2021 is also a strong year with four […]
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Verdant Capital has advised WIOCC Holding Company Limited (or “WIOCC”) on an USD 80 million equity capital raise. USD 75 million of equity was invested by CAPE IV, a fund managed by leading African private equity fund manager African Capital Alliance. The balance was invested by management and an existing shareholder. The equity raised has been supplemented by a debt capital raise. The total capital raise of USD 200 million will be used to expand its connectivity within Africa and internationally, and through Open Access Data Centres (or “OADC”) – a newly created WIOCC Group company – to launch a […]
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Category: Transactions
Date: 15 November 2021
Philafrica, a subsidiary of AFGRI, has sold its soya oil crushing plant, which trades in the market under the names Nedan, Marathon, Soya Ya Ka, Promax (soya oil cake). Philafrica, based in South Africa, is an investment company involved in food processing in South Africa, Mozambique, Ghana and the Ivory Coast. Its focus is on expanding food sourcing and production across the continent. AFGRI is owned by Helios Fairfax Partners, which is a leading pan-Africa-focused alternative investment manager, and the Public Investment Corporation of South Africa. The transaction reinforces Verdant Capital’s position as a leading advisor to the private equity […]
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Category: Transactions
Date: 15 November 2021
Verdant Capital has successfully raised ZAR 300 million (approx. USD 20 million) in debt financing for Bridge Taxi Finance from a small group of leading international impact investors. The funding will be used to grow the institution’s lease portfolio. Bridge Taxi Finance, based in South Africa, provides affordable credit facilities to South African drivers – each an entrepreneur running his own taxi business – in the minibus taxi industry. It has a vertically integrated business model that includes impact vehicle finance, day to day tracking, advice and management, and vehicle repairs and services. The company has financed over 3,200 entrepreneurs […]
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Verdant Capital has successfully raised ZAR 150 million (approx. USD 10 million) in debt funding for Retail Capital. The first tranche of ZAR 50 million was drawn during the month of October and the balance of which will be drawn in 2022. Retail Capital is the first and largest Merchant Cash Advance provider in the South African SME market. The company was established ten years ago, and it has disbursed over ZAR 4.5 billion to more than 38 000 merchants since inception. It is on target to disburse ZAR 8 billion to small businesses by 2023. The business’ approach is […]
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The sale of Baxi is Verdant Capital’s fifth successful fintech transaction of the year, having advised Retail Capital, a leading tech-enabled SME-financier in South Africa on a USD 10 million capital raise; Zeepay, a leading pan-African digital remittance and mobile payments business on its USD 8 million Series-A and on its acquisition of Mangwee in Zambia; and Tugende, a leading tech-enabled SME-financier in East Africa on its USD 10 million Series-A. Verdant Capital’s transactions in the sector include landmark transactions across West, East and South Africa. In part because of its successful track-record in transactions in the fintech […]
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MFS Africa is acquiring Baxi to expand its network into Nigeria, Africa’s largest economy and perhaps its most fintech dynamic market. Nigeria is also the largest remittance market in Africa representing one-third of intra-Africa remittance flows, and is home to the largest number of SMEs. Verdant Capital views the two businesses as highly complimentary: Baxi simplifies and integrates online and offline payments for SMEs and merchants in Nigeria through its omni-channel distribution network; MFS Africa simplifies cross-border payments, integrating payments via one hub. The transaction further extends Verdant Capital’s track-record of advising on transactions shaping the fintech sector in Africa. […]
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Flash International (“Flash”), the largest fintech and payments aggregator in the Democratic Republic of Congo (“DRC”) and with operations in the Republic of Congo (“ROC”) and Cote d’Ivoire, has entered into a strategic partnership with the DRC subsidiary of FINCA Impact Finance, FINCA DRC (“FINCA”). This partnership leverages their respective platforms and provides greater access to a full suite of financial services to a significantly underbanked population. The World Bank estimates that only 26% of the DRCs population of approximately 90 million have access to financial services in spite of a 44% mobile phone penetration rate and 23% data penetration […]
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Verdant Capital has successfully completed its fourth major fintech transaction in the last 12 months. The debt and equity raise for leading challenger fintech, Zeepay, head-quartered in Ghana, follows a USD 20 million equity and debt capital raise for Tugende, an East African technology-enabled asset financing business, an USD 11 million debt capital raise for Retail Capital a technology-driven SME-lender in South Africa, and a USD 13 million equity and debt raise for Planet42 an innovative car subscription business in South Africa. Zeepay is a pioneer of digital remittances from the diaspora to mobile wallets, bank accounts and visa cards […]
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Zeepay, the leading African challenger fintech with operations in over 10 African countries, acquired a 51 percent stake in Mangwee Mobile Money Zambia. The stake was acquired through a new issuance of shares. Mangwee started operations in 2018, and was initially set up to operate as an alternative wallet targeting university students in Zambia with the aim of driving the cost of mobile money services downward. Zeepay is the leading African challenger fintech with active operations in over 10 African countries. The company specializes in paying remittances into mobile money wallets across Africa and is regulated by both the Bank […]
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Tugende, a leading technology enabled MSME lender in East Africa, has closed an additional round of USD 3.6 million equity funding bringing the total amount raised in its Series A equity financing to USD 9.9 million. The latest round was led by Partech Africa, a member of the Partech Group and a leading global technology venture capital fund, and Enza Capital, an early-stage venture capital fund that focuses on partnering with founders and management teams that leverage technology in scaling their business while solving social issues. This round is complementary to the first round led by Mobility 54, the Africa-focused venture […]
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Verdant Capital completes its third fintech transaction in 2020 with the closing of the final leg of a USD 13 million debt and equity raise for the South African innovative car subscription business, Planet42. The capital raise follows transactions completed by Verdant Capital for innovative productive lease-financing business in East Africa, Tugende and technology-driven SME lender in South Africa, Retail Capital. Verdant Capital raised a total of USD 40 million in the sector in 2020, evidencing strong support for the sector in Africa from a variety of investors types, and from investors from around the World. In total in Africa in […]
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Planet42 is an innovative car subscription company that helps individuals ignored by banks to get access to a personal vehicle. To date, Planet 42 has bought and delivered over 2 000 second-hand cars in South Africa, its primary market. The debt capital raise, which follows an equity capital raise of approx. USD 3 million earlier in the year will help the company get many more South African mobile. Its Rent-To-Buy product is a flexible alternative to traditional finance for individuals who do not have access to financing from banks as a result of stringent lending policies. Planet42 signs motor vehicle […]
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Retail Capital is the leading and the first Merchant Cash Advance provider in the South African SME market. Retail Capital was incorporated in 2011 in Cape Town and has expanded geographically to Johannesburg and Durban; other cities are served by agents. In 2018, the company acquired First Asset Finance, an asset leasing business to bring an additional diversification into the credit book. The Asset Finance book which is mostly in the medical space has proved to be highly resistant during the covid-19 related lockdowns. The business is evolving into a broader technology- and channel-driven SME lender. As of March 2020, […]
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Tugende has raised USD 10 million in debt and equity capital from a consortium of investors arranged by Verdant Capital. This capital raise includes a strategic equity investment by Mobility 54, the Africa-focused investment fund of Toyota Tsusho Corp. This adds further strength to Tugende’s balance sheet and pushes the total balance sheet size above USD 30 million. Additional details on the equity raise can be found here. Tugende’s business has rebounded robustly after the lockdowns imposed in Uganda to help stem the spread of the COVID-19 virus. Since the relaxation of the lockdowns, Tugende’s client payments have recovered to […]
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Following the successful closing of a 2.3-million-euro equity capital raise, Planet42 is seeking local and hard currency debt funding from specialist investors for the expansion of its second-hand vehicle long-term rental portfolio. Planet42 democratizes access to mobility by serving the financially excluded portion of the population – the people ignored by banks and other traditional financiers. The founding team of Planet42 has extensive experience in alternative vehicle finance and private equity in Africa. The CEO was previously a Country Manager in Mogo Finance while the CFO was the Head of African Investments for Trigon Capital. The customers of Planet42 are […]
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Verdant Capital secures USD 6 million of debt funding for a leading Ugandan technology-driven leasing business. The funding is part of Verdant Capital’s overall funding programme for Tugende from international specialist investors for the expansion of Tugende’s productive asset finance portfolio, the bulk of which is leases for motorcycle taxis. This debt funding programme has strengthened Tugende’s diversification of its funding base and represents a strong platform for further successful raises from the international specialist market internationally. Part of the funding shall be drawn immediately, and part shall be drawn following the completion of the forthcoming equity round, on […]
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Verdant Capital has raised approx. USD 10 million for Premier Credit from leading international specialist investors. Premier Credit is a microfinance arm of Platcorp Holdings and its loan products include MSME loans, loans to schools (education portfolio) and asset financing in Kenya, Uganda and Tanzania. The funding will be used for the expansion of its loan book in Kenya and Uganda. A total of five investors have joined this funding round. This funding brings diversification benefits after the group has been historically supported mainly by shareholders, high net worth individuals (HNIs) and other local investors. Premier Credit was […]
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Verdant Capital’s successful sale of afb Ghana on behalf of JUMO World has been awarded the accolade, best financial services transaction in Africa 2017. Full financial details were not disclosed but at the time of sale, afb Ghana had total assets of GHS 97 million (approx. USD 23 million). JUMO World is a leading Africa fintech business, which elected to sell the afb Ghana when it ceased to be core to its operations. The transaction was awarded the accolade in recognition of the breadth of interested generated in the transaction, including from local financial institutions, regional pan-African institutions and private […]
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Letshego has announced the completion of the acquisition of afb Ghana following final regulatory approvals. afb Ghana was launched in 2010 and has total assets of GHS 97 million (approx. USD 23 million), making it now one of the largest consumer and micro lending institutions in Ghana. JUMO World advised by Verdant Capital, has sold the business in order to focus on its core financial technology business. Letshego Holdings Limited, is a leading pan-African inclusive finance institution, listed on the Botswana Stock Exchange, with total assets of BWP 7.5 billion (approx. USD 710 million). The transaction is one of a series of successful transactions […]
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Trustco Bank, formerly FIDES Bank, has started micro and SME-lending, following the first disbursement from the European Investment Bank (EIB) of its EUR 7.5 million (equivalent) facility. The facility from EIB was part of a ZAR 450 million group funding arranged by Trustco’s advisors, Verdant Capital, which was announced in November 2016. The overall ZAR 450 million of funding is being used to support, Trustco Bank, Trustco Finance (Trustco’s education lending business) and Trustco’s property development business, which is focused on affordable housing. In 2014, Trustco acquired FIDES Bank which had been known as the micro/SME bank in Namibia. The […]
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Category: Transactions
Author: Ollen Machimbirike
Date: 17 January 2017
afb Ghana was launched in 2010 and has total assets of GHS 97 million (approx. USD 23 million), making it now one of the largest consumer and micro lending institutions in Ghana. Jumo World, which is backed by leading specialist funds such as Leapfrog, Vostok and Gemcorp, is divesting from afb Ghana in order to focus on its core financial technology business. The acquirer of the business is Letshego Holdings Limited, a leading pan-African consumer and micro finance institution, listed on the Botswana Stock Exchange, with total assets of BWP 7.5 billion (approx. USD 710 million). afb Ghana’s strategy of […]
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Verdant Capital has successfully arranged for First Allied Savings and Loans, a leading Ghanaian financial institution, a loan facility amount of GHS 13 million (approx. USD 3.2 million) from a leading international impact investor. This facility is the first tranche of a private placement debt deal of GHS 60 million (approx. USD 15 million), the balance will close early in the new year. The institution has total assets of around USD 90 million with about 63% of its loan book is represented by micro-enterprise loans and 34% by SME loans. SMEs and micro-enterprises are critical for the economic and social […]
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Category: Transactions
Author: Ollen Machimbirike
Date: 7 November 2016
Verdant Capital has completed for Namibian financial services and property group, Trustco, a debt financing of approx. ZAR 450 million. Trustco is listed on the JSE and the Namibian Stock Exchange with a market capitalization of ZAR 2.9 billion (approx. USD 215 million). The financing represents the second largest equity or debt financing by a Namibian-owned private sector company. The funds raised will be deployed principally in Trustco’s banking and finance segment, through Trustco Bank and Trustco Finance, the Company’s principal lending arms. The funds will be mainly used for home loans, small enterprise and individual business loans, as well […]
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Verdant Capital has arranged for leading Zambian non-bank financial institution, Pan African Building Society (PABS) a revolving credit facility to support its invoice discounting and supply chain financing activities. The initial facility amount is USD 3 million, with the opportunity to upsize, and the financing is supported by technical assistance. The intention is that the financing structure will provide a platform which other funders may ultimately join. PABS is a leading Zambian deposit-taking financial institution regulated by the Bank of Zambia under the Banking and Financial Services Act and the Building Society Act. The institution has a total balance sheet […]
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Category: Transactions
Author: Edmund Higenbottam
Date: 23 February 2016
Verdant Capital continues to be highly active in the fertiliser & agri-inputs sector in Africa in 2016, following in 2015 the sale of Greenbelt Fertiliser to Yara, and the acquisition of an agri-chemicals packaging business in South Africa for global market leaders, Ipackchem Group of France.
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Category: Transactions
Author: Edmund Higenbottam
Date: 7 December 2015
Yara has acquired Greenbelt Fertilisers as part of the ongoing expansion of its downstream footprint in Africa and globally. The transaction illustrates the continued appetite on the part of global fertiliser majors to expand in Africa in both the upstream and downstream businesses.
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Verdant Capital has raised c USD 10 million equivalent in local currency debt financing for leading Zambian micro-SME and consumer lender, Madison Finance. The transaction was successful notwithstanding the macro economic challenges facing Zambia, and demonstrates the depth and resilience of Verdant Capital’s investor franchise. European Investment Bank was the largest investor in the transaction, which was shared by a large private institution based in South Africa. The transaction represents the first internationally sourced senior debt financing raised by Madison Finance. The transaction was signed late in 2014, and closed in H1 2015 following the satisfaction of final conditions precedent. […]
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