Digital financing firm M-KOPA recently raised $250 million. The general manager, Babajide Duroshola, has explained why debt was raised in the funding process.
TechCabal earlier reported that M-KOPA closed a $75million drive back in February 2022. The digital financing firm has given reasons why it raised $250 million in debt and equity financing. The breakdown of its latest capital injection includes $55 million in equity and over $200 million in debt.
Yesterday, May 16th, M-KOPA general manager, Babajide Duroshola, was on a Twitter space organised by Big Tech This Week. On the Space, he explained that debt helps one to get the required working capital to put to use as soon as possible
“For the size of our business today, It is very difficult for us to be lending based off equity drawdowns. So debt was the preferable option because it allowed us to do bigger things,” Duroshola explained.
He said it is better compared to equity which is nice but expensive…
