Lipa Later Group, a Buy Now Pay Later platform has announced the successful closure of a KES 500 million privately placed Debt issuance, reaffirming its commitment to providing innovative financing solutions for its customers.
This raise was supported by Rubicon Landing, a reputable transaction advisory firm, acting as the transaction advisors and KN Law, a leading legal advisory firm, acting as the Legal Advisors.
Eric Muli, Group CEO at Lipa Later says the firm’s journey to empower Kenyan consumers with convenient and accessible financing options has been met with incredible enthusiasm from customers and the private capital markets. Lipa Later enhances financial inclusion in Kenya by providing flexible payment options for consumers and businesses.
“This successful raise is a testament to our growth trajectory and the trust we have earned within the Kenyan financial ecosystem, and it will enable us to expand our offerings and serve our customers better. “We are excited about the opportunities this funding has unlocked for merchants and consumers. We would like to extend our heartfelt gratitude to the investors and supporters for their unwavering trust in our vision. These funds have enabled us to further invest in technology and infrastructure to make our financing solutions even more accessible and convenient for our customers ” said Eric Muli, Group CEO at Lipa Later.
Lipa Later plans to raise an additional KES 2 Billion in both Equity and Debt to spur growth further and work towards unlocking a $500bn Financial Inclusion Opportunity in Urban Africa.
“This capital infusion will support our continued growth and expansion plans, enabling us to reach more customers and businesses nationwide,” said Muli. “The Kenyan market holds immense potential for financial innovation, and we are committed to playing a significant role in shaping the future of financing in Kenya. With the support of our stakeholders and investors, we are confident that we can achieve our goal of making financing more accessible and inclusive for all.”
Lipa Later is dedicated to providing Kenya’s best financing solutions and customer experiences. We look forward to continued collaboration with Rubicon Landing and our partners as we work towards our vision of a financially inclusive Kenya.
Recently, Lipa Later partnered with Mastercard to accelerate the expansion of Buy Now, Pay Later (BNPL) payment services in Africa. By leveraging Mastercard’s extensive network of merchants, innovative payment methods, and state-of-the-art technology infrastructure and Lipa Later’s strength in consumer credit, both companies are poised to empower individuals and businesses with greater access to essential products and services, make access to credit seamless and reduce friction to create seamless shopping experiences and transactions.
Lipa Later also acquired SkyGarden, an eCommerce platform for electronics, home goods, and other products. The acquisition allowed Lipa Later to fully manage the firm’s operations in Kenya, enabling customers to buy goods and services from a wide-range of sellers electronically. Lipa Later now provides Sky.Garden’s customers buy now, pay later model that offers a flexible and affordable payment plan through monthly installments .Lipa Later rolled out credit offerings for small-scale retailers using the platform and consumers to buy items from the platform using a payment option of their choice, including Lipa Later’s BNPL.
Operating in Kenya, Rwanda, Uganda, Lipa Later raised USD 12 million from a consortium of investors to expand the company in Kenya, Uganda, Rwanda and into new markets such as Nigeria, Ghana, and Tanzania and also allow Lipa Later to provide its Buy-Now-Pay-Later services to its substantial current pipeline of consumers supporting Lipa’s exclusive partnerships with world-class merchants in Sub-Saharan Africa.
Lipa Later, which started in Kenya in 2018 has built a reputation for delivering value for its investors right from its early days; the company’s recent round of funding attracted backing from Cauris Finance, Lateral Frontiers VC, GreenHouse Capital, SOSV IV LLC, Sayani Investments and Axian Financial Services.
The company recently embarked on an ambitious crowdfunding venture through Republic, to secure $1.24 million in capital to advance its expansion initiatives throughout Africa.