HAKKI AFRICA, the startup financing car loans for taxi drivers in Africa has raised a total of 2.71 billion yen ($18.5M) in its Series C round for its Kenyan expansion.
Norinchukin Bank, Globe Advisors, and Gogin Capital participated in the first close, while the SBI Group and TIS participated in this second close. Additionally, Sumitomo Mitsui Banking Corporation, Funds Startups, Hokkoku Bank, and Falus participated in the loans. With this funding, the total amount raised has reached 4.9 billion yen ($33m)
Previously, the firm raised 1.97 billion yen ($13.4M) with SMBC Venture Capital and Global Brain as joint lead investors. Earlier, the firm had raised 738 million yen ($5,018,906.)including loans led by GLOBIS Capital Partners.
Founded in March 2019, HAKKI AFRICA, is one of the firms offering loans to Uber and Bolt taxi drivers to help them participate in their country’s economy. However, there have been reports of repossessions due to the firm’s expensive loans and plans for change in local laws as borrowers cite exploitation.
If the Microfinance Bill goes through as planned, Hakki’s second-hand or used car financing business might be affected significantly. The firm has been expanding its business in Kenya, where demand for used cars for taxi business is high. The firm also has plans to launch in South Africa and India this year.