Lolc Africa Gets Additional Usd 4.5 M Boost From Verdant Capital To Support Msme Lending
Verdant Capital has made an additional investment of USD 4.5 M in LOLC Africa through its Verdant Capital Hybrid Fund, bringing its total investment in the company to USD 13.5 M.
This latest round follows Verdant's initial investment of USD 9 M completed in June 2023. Both tranches are structured as holding company loans, designed to expand LOLC Africas flexibility in allocating capital across its network of subsidiaries in Zambia, Rwanda, Egypt, Kenya, Tanzania, Nigeria, Malawi, Zimbabwe, Ghana, and the Democratic Republic of Congo.
The goal is to strengthen the balance sheets of its local subsidiaries, support their lending capacity to micro, small, and medium enterprises MSME, and accelerate growth in markets where access to finance remains limited.
LOLC Africa is a subsidiary of LOLC Group, a Sri Lankan conglomerate with operations spanning financial services, agriculture, renewable energy, and more. Having built a strong presence in Asia for decades, LOLC entered the African market in 2018 by acquiring a controlling stake in Fina Trust Microfinance Bank, one of the leading microfinance institutions and has since established non-bank financial institutions across several countries.
Its model is centered on serving the "bottom of the pyramid," expanding access to financing and deposit services for those typically left out of the formal financial system.
