MPOWER Financing, a provider of education loans to well performing students around the world, has announced that it has raised an equity investment of Ksh. 10 billion ($100 million). The funding reiterates investors’ confidence in MPOWER’s position as a reliable lender for students aspiring to study abroad.
Founded in 2014 by Emmanuel Smadja, MPOWER Financing aims to democratize education by reducing financial barriers for high-promise students from around the world. MPOWER’s loans are approved instantly and are granted at competitive interest rates without requiring a cosigner or collateral. MPOWER additionally provides students with academic, financial and career guidance to position them for success both in school and after graduation.
“We’re delighted to be working with experienced investors who share our vision of empowering the brightest students from around the world. The new funds will be used to directly support students, automate and scale our operations, and to grow our team. We look forward to supporting an even greater number of qualified students around the globe as they study in the U.S. and Canada,” said Smadja, CEO of MPOWER Financing.
Ashwini Kumar, General Manager of MPOWER’s India Office commented, “When I did my M.B.A in the U.S., financing options like MPOWER, which don’t require collateral or a cosigner, didn’t exist. The financial burden fell on not just me, but by my parents as well. MPOWER makes it possible for future generations of students to access the world’s top universities without this financial pressure, allowing them focus on their academics and career.”
The new funding is in addition to the Ksh. 3 billion ($30 million) MPOWER raised earlier this year from Tilden Park Capital Management, which also participated in the current round. Other investors in the current round include King Street Capital Management, Drakes Landing Associates, and Pennington Alternative Income Management.
“We are excited to partner with MPOWER Financing as it operates a truly differentiated business model where it not only lends to students, but also offers career guidance and supports students throughout their journey,” said Chris Gamaitoni, Managing Director of Tilden Park Capital Management.