Kuunda completes $5 million secondary share sale to expand lending business

South African fintech company Kuunda has completed a $5 million secondary share sale led by E4E Africa. The transaction allowed early investors to realize returns while strengthening the company’s long-term investor base.

Existing investors, including Accion Ventures, Portugal Gateway Fund, and Seedstars Africa Ventures, increased their stakes in the digital lending infrastructure provider. Kuunda, founded in 2018, utilizes transaction data and credit-scoring tools to help financial institutions, mobile money operators, and banks extend credit to small merchants, mobile money agents, and consumers who lack access to traditional banking.

CEO Andrew Milne noted that the sale serves as a milestone, demonstrating that liquidity is possible for early-stage venture investors in Africa before a traditional IPO or acquisition. The company plans to expand its operations into seven additional markets following this transaction and a previous $7.5 million pre-Series A funding round.