Tugende, one of the leading fintech asset management companies in Kenya recently raised a $17 million debt investment round which will be used to meet its customer demand and a waiting list, along with supporting further technology, according to media reports. $5 million was contributed by the Nordic Microfinance Investment (NMI), another $6 million was provided by Symbiotics and $1 million from the Lendahand crowdfunding platform. The rest of the $5 million is provided by innovative lending platform Goldfinch.
Since its inception in 2012, Tugende has branched out in 5 areas of Kenya and the capital raised from the investment round will also be used to serve clients far beyond a single asset being financed.
The company was formed by Michael Wilkerson and uses asset finance, technology, and a customer support model which offers a lease-to-own mobile taxi package for riders. To date, ver 54,000 people have used the company’s financing package. It comes with road safety and financial training, medical and life insurance, driving permits, safety equipment, and hands-on support prior to ownership.
Additionally, Tugende also gives its clients the option of building a digital credit profile and score on their journey towards asset ownership. This makes Tugende one of the frontrunners of innovating and diversifying into new product lines, both in the mobility and non-mobility segments. Earlier this year, Tugende closed a $3.6 million Series A funding round that was led by Partech, followed by a financing of $6.3 million from Toyota Tsusho’s Mobility 54 in November 2020. Due to the nature of its sector, Tugende is heavily reliant on debt investment and has thus far raised over $30 million to boost its portfolio.