Kholo Capital Mezzanine Debt Fund I has committed R200 million (approximately $11.2 million) in mezzanine growth funding to Bayport South Africa, a leading provider of financial wellness solutions. The investment will support the expansion of Bayport SA’s Financial Wellness Solutions Programme, a transformative initiative aimed at tackling the country’s widespread issue of employee over-indebtedness.
Bayport SA’s programme offers a comprehensive approach to financial rehabilitation for South African workers. It provides tailored debt reduction, consolidation, and rehabilitation services, ensuring that employees benefit directly from negotiated settlement discounts with creditors. The initiative also includes structured debt management plans and financial literacy training, empowering individuals to not only reduce their monthly debt obligations but also build long-term financial resilience.
The need for such interventions is urgent. Recent data shows that over 60% of employed South Africans are over-indebted, with 49% falling behind on at least one loan. Alarmingly, 74% of income is spent on debt repayments, and fewer than 14% of South Africans are financially prepared for retirement.
Bayport SA currently partners with more than 70 employers across diverse sectors—including FMCG, financial services, telecommunications, automotive, mining, and all levels of government—reaching thousands of employees nationwide.
Mokgome Mogoba, Managing Partner and Founder of Kholo Capital, emphasized the social impact of the investment:
The positive ESG and social impact on South African society by Bayport SA is substantial, as the company provides significant debt relief to over-indebted employees. We are very passionate about financial inclusion, and this investment achieves that.
Alfred Ramosedi, CEO of Bayport SA, welcomed the partnership:
We are proud to partner with Kholo Capital, whose commitment to impact investing aligns seamlessly with our mission to drive meaningful financial change. As one of South Africa’s leading financial wellness companies, this funding will enable us to scale our reach and deepen our impact—empowering even more South Africans with the tools and support to break free from debt and build financially resilient futures.
This strategic investment not only strengthens Bayport SA’s capacity to deliver impactful financial wellness services but also highlights the growing role of blended finance in addressing socio-economic challenges across Africa.
