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M-KOPA wins trademark case against former agent
Lemfi acquires Irish company Bureau Buttercrane
Kenyan banks lower lending rates
World Wide Web 3
Events
Companies
M-KOPA wins trademark case against former agent
M-KOPA, a Kenyan asset financing company, has won a trademark case against a former agent who copied its brand identity. The High Court ruled on January 23 that John Waweru Njenga’s business, “MKopo Kastomer Care and Accessories,” had violated M-KOPA’s trademark rights.
The case, initially filed in August 2023, centred on Njenga’s deliberate use of a nearly identical name and logo to M-KOPA’s, which the court determined could easily mislead consumers into believing the two businesses were affiliated, thus helping “MKopo” to siphon off customers and revenue pipeline from M-KOPA.
Here’s Adonijah Ndege reporting for TechCabal:
“In M-KOPA’s case, the company’s legal battle was costly but necessary to protect its reputation. Court filings showed that Njenga’s business was riding on M-KOPA’s success, leveraging its established brand to drive sales of phones and accessories.”
This case exposes a common problem in Kenya’s informal markets, where businesses often copy established brands to attract customers. Poor enforcement of intellectual property (IP) laws has allowed this practice to continue. However, the M-KOPA case will set a precedent for big brands to follow to protect their business IP.
It teaches smaller brands the lesson of both protecting their intellectual property and conducting thorough trademark searches before launching new businesses to avoid costly legal battles like this one.
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Limited spots—RSVP now.
Fintech
Lemfi acquires Irish company Bureau Buttercrane for an undisclosed amount
After announcing a $53 million Series B funding round two weeks ago, LemFi, the migrant-focused remittance startup, has acquired Bureau Buttercrane, an Irish remittance company, as it begins its European expansion independently.
The acquisition will allow Lemfi to operate across the European Economic Area (EEA) using its Irish licence through a system called passporting, which allows companies to operate across the EEA using a single licence.
The acquisition was purely for regulatory cover and is similar to when fintechs in Nigeria buy MFB (Microfinance Bank) licences—they’re not looking for profitability or the technology in the acquired company but for regulatory cover.
Lemfi told its customers it could operate in Europe 22 days ago after partnering with Modulr Finance, a Dutch company. But, CEO Ridwan Olalere told TechCabal that his startup partnered with Modulr while pushing for approval from the Central Bank of Ireland.
That approval came quickly because Lemfi had “the right team and followed the correct processes.” Its previous acquisition of RightCard in 2021 made the Change in Control (CIC) process with Ireland’s Central Bank “straightforward.”
Operating in multiple markets is necessary for remittance startups to grow as they serve more corridors (US to India, Europe to Africa) and increase their revenue base. More corridors mean a broader and stickier user base, as customers will likely remain loyal if they see the company as a one-stop solution for sending money to different places.
Lemfi’s growth in the past year when it grew from $2 billion processed in 2023 to over $10 billion in 2024 was attributed to its expansion into Asia in 2024. The company also doubled users, revenue, and transactions over the past two years. Now, it will look at Europe’s $64 billion remittance market as the next market to drive its growth.
With the deal completed, Lemfi plans to make Dublin its European headquarters, hire local staff, and deepen its relationship with regulators as part of its long-term strategy.
Banking
23 Kenyan banks lower their lending rates
Twenty-three Kenyan banks have lowered their interest rates for the first time in six months since the Central Bank of Kenya (CBK) started easing benchmark rates. While lending rates have declined slightly, the shift has been uneven, with some banks reducing rates while others remain cautious.
Fourteen banks opted to hike their lending rates despite CBK’s plea for a downward adjustment. Only Equity Bank, Kenya’s second-largest commercial bank, retained its November 2024 rates.
Banks have been wary of the persistently high rate of non-performing loans (NPLs) which remained at 16.5% in October 2024, accelerating from 14.8% on a year-on-year basis.
The surging NPL ratio points to the ongoing challenges in loan repayment among borrowers. This has made lenders hesitant to lower rates too aggressively, as they must balance CBK’s policy direction with staying solvent.
By June 2024, customer deposits at commercial banks were down 7.4%—likely due to economic challenges—forcing banks to charge higher interest rates to cover the risk of bad loans and lower profits.
However, following the CBK’s plea for a downward adjustment of their lending rates, Kenyan banks, through the Kenya Bankers Association (KBA) in December, said lending rates would drop “progressively” because banks depend on customer deposits to issue loans.
With 23 of its 43 member banks now on board, the adjustment could ease borrowing costs. But only one bank—Access Bank Kenya—offers a rate below 15% (11.46%), while the average remains high at an average of 16.89% even after the adjustment.
During the last Monetary Policy Committee (MPC) committee, the CBK eased the benchmark rate by 75 basis points from 12% to 11.25% in December 2024. With another CBK policy meeting set for February 8, 2025, banks will likely continue adjusting their rates cautiously, keeping a close eye on economic stability and loan performance in the coming months.
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CRYPTO TRACKER
The World Wide Web3
Source:
Coin Name
Current Value
Day
Month
$105,345
+ 3.16%
+ 13.89%
$3,186
+ 1.93%
– 4.58%
$3.12
+ 0.04%
+ 54.01%
$241.31
+ 4.41%
+ 27.77%
* Data as of 06:35 AM WAT, January 30, 2025.
Events
Join Africa’s creative innovators, entrepreneurs & leaders at The Omniverse Africa Summit, at Landmark Event Centre, between 25 – 28 Feb 2025. Explore transformative tech, business & sustainable growth. Register now.
GITEX AFRICA 3rd edition is NOW OPEN for registration. Africa’s largest tech and start-up event will be held from 14-16 April 2025 in Marrakech, Morocco. Attend to see the leading brands in tech, and the most innovative startups, and network with tech leaders, investors, speakers and government delegations from across Africa and across the globe. Register here.
The Lagos Tech Fest is set to hold its fifth edition from February 19–20, 2025 at the Landmark Event Center, VI, Lagos. Lagos Tech Fest gathers startups, innovators, investors, and government representatives to shape Nigeria’s tech future through conferences, exhibitions, networking, and driving ecosystem investments. Get a ticket here.
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Written by: Muktar Oladunmade & Emmanuel Nwosu
Edited by: Timi Odueso & Olumuyiwa Olowogboyega
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