Feb 18th, 2016

Ahead of the 2016 Sankalp Africa Summit in Nairobi, Kenya next week, Pioneers Post and the Sankalp team spoke to the founders of four ventures based in the continent to find out: ‘What does the world need to know about African enterprise?’

High number of funds, but impractical mandates

Sun-Culture is a business that designs and sells solar powered irrigation systems and agricultural extension services that make it cheaper and easier for farmers in East Africa to grow high-value fresh fruits and vegetables.

Co-founders Samir Ibrahim and Charles Nichols founded the business, which is headquartered in Kenya, in 2013.

Ibrahim offers his take on what the world ought to know about African enterprise. “This isn’t Europe and this isn’t the U.S. Solutions for Africans are not going to be developed in nice buildings in New York or London.

Sep 13 2012

Mumbai-based IntelleCash Microfinance Network, a subsidiary of investment banking services and advisory firm Intellectual Capital Advisory Services (Intellecap), has acquired majority stake in West Bengal-based microlender Arohan Financial Services through a series of transactions for a total Rs 52 crore.

After the acquisition, IntelleCash and for-profit micro venture capital fund Aavishkaar Goodwell together will have a total of 75 per cent stake in Arohan, according to Sushma Kaushik, senior investment manager at Aavishkaar Goodwell.

The acquisition was executed by IntelleCash through a combination of transactions including fresh investment from Aavishkaar Goodwell II of Rs 6.6 crore ($ 1.2 million) and purchase of shares by an existing shareholder Bellwether Microfinance Fund. In this fresh equity infusion existing investors India Financial Inclusion Fund (IFIF) and Michael and Susan Dell invested Rs 3.7 crore.

The board of Arohan will soon be reconstituted with IntelleCash holding 3 board seats. Shubhankar Sengupta, chief executive officer of Arohan, will continue to retain his position while Manoj Nambiar, managing director and CEO of IntelleCash, will join the board and take over as the managing director of Arohan, as per Mint which first the transaction.

This is the first instance of consolidation in the microfinance sector, which faced stress after regulatory flip-flops in some key markets like Andhra Pradesh.

Sep 13 2012

Mumbai: IntelleCash Microfinance Network Co. Pvt. Ltd, a subsidiary of investment banking services and advisory firm Intellectual Capital Advisory Services Pvt. Ltd ( Intellecap ), has taken a controlling stake in Kolkata-based microlender Arohan Financial Services Pvt. Ltd through a series of complex transactions for Rs. 52 crore.

It’s the first sizeable acquisition in India’s microfinance sector since it ran into a crisis after Andhra Pradesh in October 2010 passed a law that restricted the operations of microlenders in the state, which then accounted for one-quarter of the industry’s assets.

Analysts said the deal may signal the start of consolidation among microfinance institutions (MFIs), which have been weighed down by bad loans and seen funding dry up.

Mumbai-based IntelleCash has bought a 56% stake in Arohan, said Anurag Agrawal, co-founder, chief operating officer and director of Intellecap.