Bonjour,
Victoria from Techpoint here,
Here”s what I’ve got for you today:
- iProcure goes under administration
- Moniepoint to block crypto-trading customers’ accounts
- Renda’s $1.9 million pre-seed
iProcure goes under administration
iProcure, a player in the Kenyan agritech scene, hit a rough patch recently. They have been in business for about a decade, connecting agricultural suppliers and retailers while providing useful services such as inventory management and credit facilities.
But things took a turn when they got placed under administration on April 26, 2024. That means someone else is calling the shots now, and the founders are out of the picture.
iProcure raised over $17 million in funding over the years. In August 2022, they scored $10.2 million in Series B funding back to fuel their expansion plans across East Africa.
It’s a bit of a head-scratcher why they collapsed, but word on the street is they were grappling with cash flow issues and burning through money faster than they could make it.
They even got a boost from the United States Agency for International Development (USAID) with a $1.2 million grant in May 2023 to help with food production. But it seems like it wasn’t enough to keep them afloat.
Moniepoint, Paga to block crypto-trading customers’ accounts
Moniepoint and Paga are giving their customers a heads up that their accounts could get blocked if they’re caught doing any crypto transactions. This comes hot on the heels of the Central Bank of Nigeria telling some banks, including Moniepoint, to stop taking on new customers.
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It’s a bit of a U-turn from what the CBN announced earlier about lifting the ban on crypto transactions that was put in place back in 2021.
In a message sent out today, Moniepoint basically said, “Hey, if you mess around with crypto, we’re shutting down your account and telling the authorities.”
Paga also chimed in with an email to customers, reminding them that they’re licensed by the CBN and have to play by the rules. And according to them, those rules say no to crypto transactions.
Now, the circular that Paga referred to is from way back in 2017, warning banks about dealing with crypto. But there’s a newer one from December 2023 that says financial institutions should be open to crypto-related stuff.
But hey, these recent moves by Moniepoint and Paga might hint at the CBN bringing back the crypto ban from 2021.
It’s all part of the CBN’s efforts to crack down on shady forex dealings in Nigeria. But it could also drive more people to use crypto, flying under the government’s radar.
Zoom out: Moniepoint, one of the players in this drama, was specifically told by the CBN to hold off on signing up new customers.
Renda’s $1.9 million pre-seed
Renda, a Nigerian logistics startup, has raised $1.9 million in pre-seed funding to beef up their services, expand into more cities in Nigeria and Kenya, and expand their network of partners.
Ingressive Capital led the $1.3 million equity round, and other investors, including Techstars Toronto and Golden Palm Investments, participated. Plus, Founders Factory Africa and SeedFi chipped in with $600,000 in debt funding.
So, what’s Renda all about? They are the go-to guys for businesses that need assistance getting their products from A to Z. They have a platform that handles everything from storage to deliveries in one place. The best part is that it is all done in real-time, allowing you to monitor your inventory and cash flow as it happens.
Renda distinguishes itself by addressing the entire delivery puzzle rather than just one aspect. And get this: They do not even own trucks or warehouses. No, they collaborate with other companies that already have those things, resulting in a win-win situation for everyone involved.
CEO Ope Onaboye spilled the beans, saying that Renda’s secret sauce is its network of partners. They’ve got over 300 storage spots, 3,000 delivery vehicles, and 2,000 cash collection points across the country. Talk about impressive!
Renda’s clients range from small businesses to big names like Jumia and Dangote, demonstrating that it has something for everyone.
Per the company, revenue has increased by 450% in just a year, thanks to securing large contracts and keeping cash flowing.
The startup is also looking after their delivery drivers, with plans to provide them with loans and health insurance. Plus, they’re dabbling in AI to make their whole operation smoother.
