Tugende, a leading Uganda fintech lender that specializes in asset finance in Kenya and Uganda, has announced the completion of a new $17 million debt capital round by the end of 2021.

The Nordic Microfinance Initiative (NMI) contributed $5 million in local currency, Symbiotics contributed $6 million, and the Lendahand crowdfunding platform contributed $1 million. Tugende received $5 million for its Kenya sector from Goldfinch, an innovative financing platform.

Michael Wilkerson founded the company in 2012, and it provides a lease-to-own mobile taxi package for riders by leveraging asset finance, technology, and a customer service strategy. Over 54,000 customers have taken advantage of the company’s pre-purchase financing package, which includes road safety and financial education, medical and life insurance, driver’s licenses, safety equipment, and hands-on support.

Tugende closed a $3.6 million Serie A extension led by Partech in March, which was quickly followed by a $6.3 million investment from Toyota Tsusho’s Mobility 54 in November 2020. Tugende, due to the nature of the business, relies heavily on debt financing and has raised more than $30 million to date to expand its portfolio.

Tugende’s clients can create a digital credit profile and score as part of their journey to asset ownership, which doubles their income. Tugende is diversifying into new product lines in both mobility and non-mobility.

Kenya now has five branches, making it the company’s second largest market. The funds raised will help the company meet consumer demand and waitlists, as well as promote other technology-driven innovations that benefit clients in ways other than the asset being financed.

The funds will be used to support significant year-end growth and expansion in 2022.