Since achieving unicorn status last year, Egyptian fintech MNT-Halan has aggressively pursued international expansion, diversifying its operations beyond Egypt’s often volatile economic landscape. A series of strategic acquisitions and market entries signal the company’s intent to become a dominant player in emerging market finance.

MNT-Halan’s most recent move involves a significant investment in Pakistan. Following its acquisition of Advance Microfinance Bank, the company plans to inject $10 million over the next five years, aiming to build a $500 million loan portfolio. This expansion targets female entrepreneurs, farmers, and car buyers, leveraging the growing microfinance sector in Pakistan, where the gross loan portfolio has nearly doubled since 2018, reaching Rs565.8 billion (approximately $1.9 billion USD) in 2024. With 50,000 existing users in Pakistan, MNT-Halan aims to double its customer base and has already facilitated $11 billion in transactions globally, including in Pakistan, Egypt, the UAE, and Turkey. The company plans to open 100 new branches this year and introduce a digital banking app, with further expansion contingent upon securing a national banking license in Egypt. MNT-Halan is also exploring Sharia-compliant financial products and partnering with local businesses to offer integrated finance solutions. The acquisition of Advance Microfinance Bank provided a ready-made license, accelerating MNT-Halan’s entry into the Pakistani market.

This Pakistani venture follows MNT-Halan’s recent foray into the UAE. Launching with “Halan Advance,” an early salary access service, the company aims to tap into the substantial market of expatriate workers, many of whom lack access to traditional banking. With over 3.7 million expatriates in the UAE earning an estimated AED 10 billion ($2.7 billion USD) monthly, the potential market is significant. MNT-Halan plans to expand its UAE offerings to include credit, payments, and investment services, aiming for 250,000 clients by the end of 2025, up from the current 40,000. Omar Ramadan, Managing Director of Halan in the GCC, highlighted the positive reception of Halan Advance. MNT-Halan’s UAE operations comply with Central Bank regulations, demonstrating its commitment to operating within established frameworks.

MNT-Halan ’s recent acquisitions and expansion drive is fueled by significant funding, including a $157.5 million round in July, anchored by a $40 million investment from the International Finance Corporation (IFC). This follows $520 million raised over the past three years from investors including Development Partners International (DPI), Lorax Capital Partners, Apis Partners LLP, Lunate, and GB Corp. The Abu Dhabi sovereign fund Lunate is also a key backer.

Further demonstrating its ambition, MNT-Halan acquired Tam Finans, a Turkish microfinance and SME lending platform, last year. This move provides MNT-Halan with a foothold in the Turkish market, leveraging Tam Finans’s expertise in invoice factoring and digital lending. While financial details of the acquisition remain undisclosed, it included an equity component, with Tam Finans’s existing owners, Actera Group and the European Bank for Reconstruction and Development (EBRD), becoming MNT-Halan shareholders. Tam Finans has disbursed over $300 million in loans to more than 20,000 active businesses in Turkey. MNT-Halan CEO Mounir Nakhla cited Turkey’s large unbanked population and thriving SME sector as key drivers for the acquisition. The combined entity has a loan book of “slightly less than $1 billion,” according to Mr. Nakhla.

MNT-Halan ’s aggressive expansion strategy, driven by substantial funding and strategic acquisitions, positions it as a key player in the emerging market fintech landscape. Its focus on financial inclusion, technological innovation, and regional diversification will be closely watched as it continues its growth trajectory.