Nigerian fintech company Moniepoint has entered the Kenyan market with the completion of its acquisition of Sumac Microfinance Bank Limited, a Central Bank of Kenya-licensed microfinance institution.
With regulatory approval from the Central Bank of Kenya, the transaction marks Moniepoint’s first major acquisition in Africa and a strategic entry into East Africa.
“The acquisition is a deliberate, strategic move that enables Moniepoint to bring its comprehensive digital financial platform, encompassing banking, payments, credit, and business management tools, to Kenyan micro, small, and medium-sized enterprises (MSMEs) for the first time,” Moniepoint said in a statement.
Moniepoint now holds 78% of Sumac, though the terms of the transaction have not been disclosed.
The fintech company explained that Kenya is widely recognized as the largest economy in East Africa and the sixth largest across the continent. It is home to an estimated 7.4 million MSMEs that collectively contribute approximately 40% of the country’s GDP and employ around 15 million people.
“The country’s mobile payments ecosystem, valued at US$67.3 billion, is among the most sophisticated on the continent, laying fertile ground for a digital-first financial services provider,” it said.
It added that, despite this vibrancy, Kenya’s MSMEs remain underserved when it comes to seamlessly integrated financial tools, business payments, banking and credit – delivered within a single, cohesive platform – and the gap represents a clear and urgent opportunity.
Moniepoint to address an underserved segment
The Nigerian fintech said its entry is intended to address this underserved segment, equipping Kenyan entrepreneurs with the full suite of tools they need to grow.
Underpinned by Moniepoint’s technology and customer service capabilities, Sumac will continue serving Kenyan businesses, offering customers an integrated digital banking platform.
“We are delighted to welcome Sumac Microfinance Bank to the Moniepoint family. Sumac’s unique position in the Kenyan market, alignment with our broader goals, and local market knowledge stood out as key differentiators which made the acquisition an attractive decision for Moniepoint,” said Moniepoint’s co-founder and Group CEO, Tosin Eniolorunda.
_(1).jpg "Restaurant worker takes digital smartphone payment on POS machine.")
Moniepoint now holds 78% of Sumac Microfinance Bank, though the terms of the transaction have not been disclosed. (Source: pressfoto on Freepik)
Eniolorunda added that the strategic acquisition means that SMEs across Kenya will benefit from Moniepoint’s digital banking services, and the company looks forward to working with the Sumac team to ensure the transition for customers is seamless while empowering businesses and contributing to the nation’s proud legacy of financial innovation.
“We are confident that as we leverage technology to create new opportunities as we scale our operations across Kenya, we would be building a bigger, more innovative, and more impactful organization together,” Eniolorunda said.
Sumac Microfinance Bank Founder and Chairman John Kibatha Njoroge said the strategic partnership combines Sumac’s local expertise and customer trust with Moniepoint’s cutting-edge technology, scale and innovation track record.
He added that together the companies are poised to deliver more value to customers, strengthen financial inclusion across Kenya, and contribute to the broader growth of digital financial services in East Africa.
“Our hope is that the business continues to enable Kenyans to have a great impact in society by creating value for all and sundry in whatever level of business engagement there is. Our expectation is that Sumac will become the most ideal financial partner for all businesses and entrepreneurs in the country and will keep growing to become sustainably profitable as Moniepoint has achieved in the Nigerian market,” Njoroge said.
Moniepoint’s African growth story
The Nigerian unicorn has in recent times been expanding its offerings and just last month acquired Orda Africa, a cloud-based restaurant management platform operating in Nigeria, for an undisclosed sum.
Founded in 2015 by Eniolorunda and Felix Ike, Moniepoint is now Nigeria’s largest merchant acquirer and payment processor, supporting more than 20 million businesses and personal banking customers.
Over the years, the company has expanded its offerings to include digital payments, business and personal banking, credit, cross-border payments and business management tools.
Through its subsidiaries, Moniepoint processes over $250 billion in digital payments transaction value annually.
Moniepoint gained unicorn status in October 2024 after announcing a $60 million Series C round, pushing its valuation to over $1 billion.
