Digital bank Umba has acquired a 66.6% stake in Kenyan microfinance outfit Daraja as it looks to expand its presence on the continent.
San Francisco-headquartered Umba offers access to free accounts, P2P transfers, bill payment and loans and interbank transfers. Daraja, meanwhile, lends to micro and small enterprises in Africa.
According to Finextra, Umba began operating in Nigeria but raised $15m in April this year to expand to Ghana, Egypt and Kenya. While already operating a non-deposit taking credit business in Kenya, the firm has now taken a controlling interest in Daarja.
The Central Bank of Kenya recently welcomed the deal, claiming that it will strengthen Daraja’s business model and help with its digitisation.
Leapfin, a financial data management solution, has closed its Series A funding round on $12.2m, which was led by Crosslink Capital.
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