This archive report was first published on 20 December 2019.
On December 20, 2019, financial technology firm 4G Capital secured Sh200 million in funding for Small and Medium Enterprises (SMEs) in Kenya and Uganda.
The funding from private equity firm Ceniarth LLC will aid in the expansion of operations in Kenya and Uganda, with an additional 24 branches across Kenya and 34 across Uganda, bringing the total network to 150 branches.
“4G Capital has surpassed all key performance targets for 2019, and Ceniarth’s investment will help us meet the demands of growing customer base and continue our positive impact into the future,” CEO and Founder of 4G Capital Wayne Hennessy-Barrett said in a statement.
Since 2013, 4G Capital has lent over 750,000 loans valued at Sh9 billion, with repayment rates remaining above national averages, at over 94 per cent (without refinancing).
“The rapid expansion of mobile and technology-based financial services in emerging markets has the potential to provide critical capital to individuals previously excluded from the financial system,” said Ceniarth Founder Diane Isenberg.
Earlier this year, mobile lender Branch announced raising Sh17 billion in debt and equity financing to expand its loan portfolio, while last year, Tala announced it had raised Sh5 billion in its third round of investment, bringing its total financing to Sh10.5 billion.
