14 November 2016

Absa to Sell 49% Stake in RainFin to Founders

Barclays Africa said it would sell its 49% stake to RainFin’s founding shareholders to focus on core operations, Business Day reports, citing an unidentified spokesperson.

* “We believe peer-to-peer lending platforms still have potential but if we do it in future, it will be aligned to our strategy,” Absa spokesperson says;
* Absa is investing in 10 fintech companies across Africa;
* RainFin CEO Sean Emery says co. loan volume would slow after Absa exit; co. facilitates more than 1m rand per day in small business loans;
* Emery says new institutional investors are in pipeline and will help grow retail base;
* NOTE: Feb. 16, RainFin Partners Barclays Africa to Boost Loans to Small Cos. Source: Bloomberg