Lipa Later Acquisition Race Sees Sh3B in Bids from Local and International Players
Once hailed as a fintech trailblazer, Lipa Later now faces a fierce battle for survival as investors circle its remains.

At least three firms have entered the Lipa Later acquisition race, submitting offers to buy or finance the struggling buy-now-pay-later (BNPL) start-up, which has been under administration since March 2025.
A Canadian firm, a Kenyan financial consultancy, and a London-based investor are eyeing control of Lipa Later, signaling a potential turnaround for one of Kenya’s most talked-about fintechs.
Engage Capital Makes Sh3.17 Billion Offer
Canadian financial services firm Engage Capital has offered $24.5 million (Sh3.17 billion) to acquire Lipa Later’s technology platform, customer base, IP, and regulatory licenses. The bid also includes clearing liabilities and absorbing the company’s loan book—excluding non-performing loans.
“The proposed structure includes full acquisition, subject to due diligence, regulatory approvals, and confirmation of funding,” Engage Capital stated in its May 16 letter of intent.
Advance Global Capital Offers Rescue Loan
Meanwhile, London-based Advance Global Capital (AGC) is proposing a $5 million (Sh646 million) invoice factoring loan to Lipa Later. AGC’s deal includes an immediate $3 million disbursement and a $2 million top-up a year later. Unlike a full buyout, this facility is tied to Lipa Later’s receivables and excludes its consumer lending operations.
AGC intends for the 36-month loan to support the fintech’s invoice financing efforts and regional expansion plans into Uganda and Rwanda.
Kenyan Firm Tables Sh2.5 Billion Offer
A third offer has reportedly come from a Nairobi-based financial consultancy firm, with a Sh2.5 billion proposal to acquire the start-up. Though details remain limited, Lipa Later founder Eric Muli confirmed discussions with local suitors had already begun before the administration proceedings.
“I’m not at liberty to speak on the matter, but I can confirm we had been in advanced conversations even prior to administration,” said Muli.
A Fall from Rapid Growth
Lipa Later’s troubles came to light in March 2025 when the firm entered administration, following undisclosed debts. Joy Vipinchandra Bhatt of Moore JVB Consulting was appointed as administrator and has since been overseeing creditor claims and restructuring efforts.
Before its collapse, Lipa Later had raised over Sh1.9 billion in debt and equity since 2019 to fund its aggressive market expansion. The firm pioneered the BNPL model in Kenya, offering hire purchase financing for retail customers and collecting installment payments over time.
Despite the mounting debt and recent collapse, the interest from international and local players shows there’s still perceived value in the company’s technology and consumer credit data.
What’s Next?
While the administrator declined to reveal how many offers have been submitted, citing an active court case, industry insiders say the final decision could reshape Kenya’s digital credit landscape.
Should a deal go through, the new owner will inherit both a once-hyped fintech platform and the burden of restoring trust in Kenya’s BNPL ecosystem.
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