Mobile lending app Branch raises Sh350 million for expansion drive in Kenya

The firm has since disbursed loans to more than 1 million Kenyans

The new capital investment is a deal based on a commercial paper issuance that was arranged by Centum-owned capital-raising advisory firm, Barium Capital​.

“We have been impressed by what they’ve been able to achieve so far, and we are very happy to have secured a seat on the Branch express train for our investors,” said Teresia Muthoni, chief executive of Barium Capital.

The Silicon Valley start-up made a similar move last year when it raised Sh200 million for the Kenyan market expansion.

Short-term loans

The firm has since disbursed loans to more than 1 million Kenyans and hopes to disburse Sh 2.5 billion across its markets by the end of the year.

Besides Branch, there are nearly a dozen other major players in the market which issue short-term loans via mobile money.

Data from the Communications Authority indicates that 6 out of 10 Kenyans have a mobile banking account, which makes Kenya one of Branch’s key markets.

The company said it plans to expand into savings and payment products in the future for its more than a million users.

JOIN OUR PULSE COMMUNITY!

Eyewitness? Submit your stories now via social or:

Email: news@pulselive.co.ke

Recommended articles

From Millionaire to Hawker - How Muthee is rebuilding his life from scratch

From Millionaire to Hawker - How Muthee is rebuilding his life from scratch

Why do guys still masturbate when they have girlfriends?

Why do guys still masturbate when they have girlfriends?

Police uniform, weapon are ID - Mutyambai addresses Boniface Mwangi's trending clips

Police uniform, weapon are ID - Mutyambai addresses Boniface Mwangi's trending clips

Jalang'o announces his last day on Kiss 100 [Video]

Jalang'o announces his last day on Kiss 100 [Video]

3 foods that cause acne and 3 that don’t

3 foods that cause acne and 3 that don’t

If I rise, let me rise with other people - Crazy Kennar scoops 3 titles at the Pulse Influencer Awards

If I rise, let me rise with other people - Crazy Kennar scoops 3 titles at the Pulse Influencer Awards

Zuckerberg loses $6 billion hours after Facebook, WhatsApp, Instagram crashed

Zuckerberg loses $6 billion hours after Facebook, WhatsApp, Instagram crashed

Cooking for Drake, collaboration with Wizkid and other things Tems revealed in a Twitter Q&A

Cooking for Drake, collaboration with Wizkid and other things Tems revealed in a Twitter Q&A

I’m a father of Two - Willis Raburu’s humble request over his late daughter Adana

I’m a father of Two - Willis Raburu’s humble request over his late daughter Adana