MNT-Halan Joins Africa’s Unicorn Gang With $400M Funding.
MNT-Halan/Cairo: Over the years, the African ecosystem has exponentially grown with proof. Startup numbers across the continent are currently more than 8,000 and the likelihood of many more coming into the field is inevitable. While some of these startups are still struggling with user traction, bootstrapping or team effectiveness and many more, some are scaling, and some are not just excellently scaling, they are becoming Unicorns.
In 2020, Africa presented her first Unicorn startup. This feat opened the doors for other African startups to reach the funding mark. In the coming months, Africa will present more startups from her regions.
By 2022, Africa could claim 9 Unicorns to her badge, Each of the startups is comfortably valued at $1 Billion, some even more. Although most startups are from West Africa, Nigeria to be precise, other regions have been trying to produce more Unicorns in the ecosystem, especially North Africa.
Until recently, North Africa was able to produce only one Unicorn. Originating from Egypt, Fawry, a fintech startup became a Unicorn on the continent and the first from its region. In 2022, The fintech attained $2 Billion in valuation.
The New Unicorn On The Block; MNT-Halan
Fawry enjoyed being the only Unicorn from North Africa, while it lasted, now, MNT-Halan has joined the Unicorn status. The Unicorn title is only given to the business whose value is up to $1 Billion, MNT-Halan’s latest funding has pushed the startup to a $1B value.
MNT-Halan is an Egyptian fintech startup that provides financial services through the use of technology. The fintech focuses on banking the unbanked and underbanked in the nation by providing them with a platform that lets them enjoy certain financial benefits. Founded by CEO Mounir Nakhla and Co-founder Ahmed Mohsen in 2017, the North African fintech has been able to gain ground within its location of operation. So far the company gain recognizable traction with 1.3 million users, serving about 5 million clients in the country. MNT also has about 5.5 million financial customers and borrowers.
The startup also runs a Buy Now Pay Later BNPL feature, likewise a digital wallet service for bill payment and also an e-commerce/ ride-hailing service. Providing these services in Egypt has attached the attention of its investors.
The Largest Round In The last 12 Months
Earning its spot in the gang, MNT-Halan has been able to secure $400 million in equity and debt financing in its recent raise. This raise was revealed through the fintech itself, via its press release. The funding has $260 million in equity financing and also $140 million via 2 securitized bond issuances. This round is the largest round in Egypt in the last 12 months.
The round saw 3 investments in participation. About $200 Million was invested by Chimera Abu Dhabi, and $140 million was also secured via 2 securitized bond issuances. The last $60 million is currently in its closing stage from international investors. As one of the investors in this round Chimera Abu Dhabi expresses its excitement via its representative, Seif Fikry, CEO. “We are thrilled to be part of Egypt’s greatest fintech success story. MNT-Halan’s upward trajectory and momentum reflect the management team’s realization of its extraordinary vision to transform a high-touch business seamlessly. Infusing an unparalleled proprietary tech platform while increasing product depth for its target customer segment.”
Also acknowledging the success, MNT-Halan’s CEO stated the following. “As one of the region’s premier and most progressive investors, Chimera Abu Dhabi brings a unique and dedicated understanding of our business. Having the backing of Chimera Abu Dhabi is of significant support to the execution of our strategy. The timing of the transaction is also a testament to our ability to significantly increase our revenues and open new revenue streams while growing our bottom line, despite the macroeconomic situation. I am excited for what lies ahead as we continue to grow both organically and inorganically by offering cutting edge
financial products and services locally and internationally to empower the underserved.”
So far, MNT-Halan has witnessed 3 funding round from 21 investors. The acquisition of Halan and Talabeyah by MNT has summed the value of the fintech to reach $1 Billion.
More Unicorns in Africa.
According to African Business, startups on the continent did pretty well in 2022. In total the continent secured $ 4.8 Billion, this is more than double its fund in 2021. So far, African startups are doing well when it comes to attracting investments. The continent’s ecosystem is growing in size and funds. Although it has also contracted the layoff syndrome, this has not stopped its funding in different niches of digital technology.
If MNT-Halan can secure this amount of funding in the early part of 2023, the continent might as well see more high-raised funding in the coming months.