Branch International has issued their largest commercial paper issuance to date raising Ksh. 500 million. The money will be used to expand Branch’s business in Kenya.

This is the third time the company has issued commercial paper, following a Ksh. 350 million issuance in 2018 and a Ksh. 200 million issuance in 2017. The three commercial paper issuances have been arranged by the Centum-owned advisory firm, Barium Capital.

How to get a loan from Branch

Speaking after the close of the issue, Teresia Muthoni, the Managing Director of Barium Capital said, “We continue to be impressed by Branch’s approach to credit management despite the very competitive Kenyan mobile lending space which for us remains the fundamental test of issuer quality. This, coupled with the caliber of Branch’s leadership team, is what has allowed the firm to access the private capital markets much earlier than other companies in their industry and position themselves for the spectacular growth they’ve achieved to date.”

Additionally, Branch has previously received more than Ksh. 7.1 billion in funding from top international investors, including the World Bank Group’s International Finance Corporation and Andreessen Horowitz.

Branch was launched in Kenya in 2015. They also have operations in Nigeria, Tanzania, and Mexico, and are planning to launch in India this year. Branch issues tens of thousands of loans per day and has given out over Ksh. 25 Billion in loans in Kenya.

Mobile money and a healthy internet penetration has fueled the proliferation of digital banking products such as Branch. Its competitors include M-Shwari, KCB M-Pesa, Tala, M-Key, Haraka among others.