The Competition Authority of Kenya (CA) has finally given US incorporated fintech company, Moniepoint Inc., which provides business payments and banking platforms, the go-ahead to acquire Kopo Kopo, a Kenyan-based company offering payments services and credit to businesses.
The CA’s decision is based on careful consideration and assessment of the potential impact that the acquisition will have on competition in the Kenyan market. The regulatory body ensures that the merger will not result in any anti-competitive practices or hinder fair competition. With the acquisition receiving the green light, both Moniepoint and Kopo Kopo will be able to proceed with their plans for integration and market expansion.
The Competition Authority of Kenya has approved the proposed acquisition of 100% shares in Kopo Kopo Inc. by Moniepoint Inc. unconditionally…This approval has been granted based on the two key considerations during the merger analysis that; first, the transaction is unlikely to negatively impact competition in the market for digital credit; and second, the transaction will not elicit negative public interest concerns.
Competition Authority of Kenya
The acquisition of Kopo Kopo presents significant opportunities for Moniepoint (formerly TeamApt) to expand its services and operations in Kenya. By integrating Kopo Kopo’s expertise and infrastructure, Moniepoint can leverage its existing technology platforms to provide enhanced business payment solutions to Kenyan businesses. This expansion into the Kenyan market aligns with Moniepoint’s broader vision of becoming a leading fintech company in Africa.
Moniepoint’s entry into Kenya will not only benefit the company but also the local business community. The innovative financial solutions that Moniepoint offers can help SMEs in Kenya overcome traditional banking challenges and gain access to modern payment systems. This, in turn, will contribute to the growth and development of local businesses and foster economic prosperity in the region.
According to Tosin Eniolorunda, Group CEO, Moniepoint Inc., on the approval, “We have a publicly stated interest in Kenya as part of our mission to provide financial happiness for people across Africa. We are delighted to have taken the first step by securing regulatory approval for our plans to provide financial happiness to Kenyans and look forward to progressing the transaction.”
“A further update will be given when appropriate.”
With the acquisition finalized, Moniepoint and Kopo Kopo will focus on integrating their respective technologies and business operations. The collaboration will bring together Moniepoint’s expertise in fintech solutions and Kopo Kopo’s local market knowledge, creating a powerful synergy that can drive innovation and customer-centric services in Kenya.
Moniepoint plans to invest in strengthening the existing infrastructure of Kopo Kopo to ensure seamless integration of their platforms. This investment will involve enhancing the payment and credit facilities offered by Kopo Kopo, leveraging Moniepoint’s technological capabilities. The shared resources and expertise of both companies will enable them to deliver comprehensive and efficient financial services to businesses across Kenya.
Founded and started in Nigeria in 2015 by Tosin Eniolorunda and Felix Ike, Moniepoint Inc. provides an all-in-one payments, banking and operations platform for businesses. It recently launched a Consumer app and debit cards to expand banking services to individuals, heralding its full scale entry into the personal banking space in Nigeria.
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Moniepoint will compete with Safaricom’s M-Pesa.