Transaction Summary
Umba Group (Umba) has announced it secured a $5 million debt facility from Star Strong Capital LLC (Star Strong). Founded in 2018, Umba is a digital banking platform operating in Kenya and Nigeria, offering zero-fee current accounts, digital payments, and affordable payroll and auto loans to individuals and SMEs via its mobile app. Star Strong’s financing, provided through its flagship Star Strong Income Partners Fund (launched in 2021 with a target raise of $250 million), will allow Umba to significantly expand its loan portfolio, especially in vehicle and SME lending, while accelerating customer acquisition across Africa. The Star Strong Income Partners Fund provides debt capital solutions to lower-middle-market companies underserved by traditional financial institutions, aligning closely with Umba’s growth strategy.
Terms
- Fund Managers: Star Strong Capital LLC
- Fund: Star Strong Income Partners
- Target: Umba Group
- Transaction type: Debt Financing
- Financing Type: Venture Debt
- Amount: $5 million
Transaction Rationale
Star Strong’s investment in
