MNT-Halan plans to use the funding to expand within and beyond Egypt. Here are the top-line bullets you need to know.
MNT-Halan, a fintech company, has raised $120M in a Series A. The round drew participation from Apis Partners, Middle East Venture Partners, and Development Partners International, among others.
HOW’S THE COMPANY PERFORMING?
- Cairo-based MNT-Halan provides numerous services, including digital banking, digital payments, buy-now-pay-later, mobile wallets, logistics and couriers, nano lending, and payroll lending.
- The company has over 4M clients in Egypt, and it reports that it has an active monthly user base of around 1M.
- MNT-Halan has lent over $1.7B to 1.8M borrowers.
- The company’s monthly throughput has grown 20x over the past 5 years and currently sits above $100M.
WHY DOES THE MARKET MATTER?
- The fintech market is projected to grow at a CAGR of 23.41% to reach a value of $324B by 2026, according to Market Data Forecast.
- Today, BNPL accounts for a small portion of the overall spending on payment cards (including credit, debit, and prepaid cards) — the US sees around $8T in overall spending annually. However, BNPL is at an inflection point. By 2025, the global BNPL industry is expected to experience a 10-15x increase in spending volume, surpassing an estimated $1T in annual gross merchandise volume. This growth trajectory has attracted incumbent attention and moved them to improve the digital user experience.
- In 2021, BNPL players have set an annual funding record, as they have seen over $2.1B in equity funding across 20 deals. There have been major acquisitions in this space as well, such as Square acquiring AfterPay for $29B.
- With mobile penetration of around 90% in Egypt, there is an opportunity to cater to Egypt’s underbanked population.