After receiving US $200 million in equity capital and an additional US $140 million in debt, the Egyptian FinTech business MNT-Halan is now without a doubt the best-funded startup in the nation.
MNT-Halan, which started out in 2018 as a ride-hailing app for two- and three-wheeled vehicles, has evolved into a kind of super app and has since grown to be Egypt’s largest and fastest-growing lender to the unbanked.
Through its consumer-facing app, merchant app, distributed loan and payment processing software, and payment solutions, the firm links customers, vendors, and micro-enterprises. It also provides services like ride-hailing and logistics.
With MNT-Halan already in the advanced stages of conversations with top international investors to raise an additional US $60 million of primary capital, the investment comes in exchange for more than 20% of the business. After these investments are finished, MNT-Halan will be valued at more than $1 billion.
The business also disclosed two securitizations with Commercial International Bank (CIB), Egypt’s largest private sector bank, totalling US $140 million through subsidiaries Tasaheel Microfinance Company (Tasaheel) and Halan Consumer Finance (Halan). In its second securitization offering, Tasaheel has securitized US$100 million of its loan book. Since beginning operations in 2021, Halan Consumer Finance has securitized a total of US $40 million of its loan book. Both issuances had excessive demand.
With 246,000 contracts and a strong cash pay-back capacity, the combined securitized loan books represent the excellent quality, diversity, and granularity of the offerings, according to MNT-Halan. The money will help the company’s loan book expand in light of the rising demand and the inflationary climate at the moment. In its securitization program, MNT-Halan has the ability to further securitize up to US $250 million.
Chimera Abu Dhabi, one of the best and most forward-thinking investors in the area, offered a special and committed knowledge of its company, according to MNT-Halan founder and CEO Mounir Nakhla.
“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 macro-economic situation,” he said. “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.”
“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 realisation of its extraordinary vision to transform a high-touch business by seamlessly infusing an unparalleled proprietary tech platform while increasing product depth for its target customer segment,” said Seif Fikry, CEO of Chimera Abu Dhabi.
