Moniepoint Secures 78% Stake in Kenya’s Sumac Microfinance After KopoKopo Deal Falls Through
Moniepoint has secured approval to acquire a 78% stake in Kenya’s Sumac Microfinance Bank, marking a major breakthrough into East Africa’s competitive fintech landscape.
The deal follows a failed bid to acquire KopoKopo, but Moniepoint’s pivot to Sumac is now seen as a strategic leap toward regional financial dominance.
Nigerian fintech giant Moniepoint has gained regulatory approval to acquire a 78% controlling stake in Sumac Microfinance Bank, marking a significant entry into the Kenyan banking sector. This move comes just months after its initial plans to purchase KopoKopo were denied by Kenyan regulators.
The Central Bank of Kenya (CBK) announced the green light for the transaction in a statement issued on Monday, June 3, confirming that Moniepoint Inc., formerly known as TeamApt, will officially become a majority shareholder in Sumac Microfinance Bank Limited, a licensed deposit-taking microfinance institution.
This acquisition follows the CBK’s rejection of Moniepoint’s earlier attempt to acquire KopoKopo, a digital payments startup also based in Kenya. That deal had stalled after the competition authority flagged concerns over market concentration and regulatory fit. Despite the setback, Moniepoint has quickly rebounded with a strategic pivot toward Sumac, a move many analysts are calling a smart and timely comeback.
Founded in 2002, Sumac Microfinance Bank provides financial services tailored to small and medium-sized enterprises (SMEs), including loans, savings, and working capital facilities. With three branches across Nairobi, Nanyuki, and Githunguri, Sumac has carved a niche in Kenya’s microfinance landscape, serving underserved business owners and local communities.
In a statement, the CBK described the acquisition as part of a broader plan to boost financial inclusion and digital innovation in Kenya’s banking sector. “The investment by Moniepoint will strengthen Sumac’s capacity to offer credit and other financial services to SMEs, which remain critical to Kenya’s economic growth,” the CBK noted.
Moniepoint’s expansion into Kenya aligns with its broader African growth strategy. The fintech unicorn already dominates Nigeria’s agency banking and SME payment space, processing over $182 billion in transactions annually. By entering Kenya, East Africa’s largest digital finance hub, Moniepoint aims to replicate its success with innovative financial services tailored to local needs.
Speaking on the acquisition, Moniepoint CEO Tosin Eniolorunda expressed optimism about the company’s East African entry: “This acquisition represents a major step in our mission to power businesses across Africa with cutting-edge financial tools. Kenya is a key market for us, and Sumac provides the ideal platform to serve its dynamic SME sector.”
The transaction is expected to boost competition and innovation in Kenya’s microfinance industry, which has faced recent liquidity challenges and a tightening regulatory environment. It also highlights the growing influence of Nigerian fintechs across the continent, as cross-border expansion becomes a central focus amid rising domestic saturation.
With regulatory approval now secured, Moniepoint is set to begin operational integration with Sumac over the coming months, introducing new technologies and potentially expanding its footprint beyond the current three branches.
As Kenya continues to position itself as a regional fintech powerhouse, this bold move by Moniepoint signals that the race for East Africa’s financial future is only just heating up.
