Kenyan music steaming platform Mdundo has recorded a 290% user growth since its 2020 IPO, according to online publication Disrupt Africa.
The company that has its headquarters in Denmark set shop in 2013 and has grown to a formidable force in the rapidly-growing streaming scene. Besides Kenya, Mdundo is available worldwide and has a market focus in Kenya, Tanzania, Uganda, Nigeria, and Ghana, while it continues to explore other markets within the content.
“Our growth strategy over the last two years has paid off with strong user growth and consistent revenue growth across our core markets. Looking forward towards 2025 we will continue focusing on aggressive growth in users and revenue but with an increased focus on driving value per user and we expect a positive EBITDA by 2025,” said Mdundo CEO Martin Nielsen.
In 2020, the startup listed at Nasdaq First North Growth Market Denmark, in an IPO that was oversubscribed by 110%, with nearly 3000 investors taking a stake.
At the time of its listing, the CEO pointed out that he was aiming at establishing “Mdundo as the leading pan-African music service for consumers and musicians. This way, we would achieve in Africa what Spotify has achieved in the West and what Tencent has achieved in Asia.”
Last year, Mdundo signed deals with MTN and Airtel in Nigeria and Vodacom in Tanzania. These partnerships seem to be bearing fruits with the company reporting that its user base has nearly doubled. The platform had 31 Million Active Users in Q1 of 2022, representing a 49% increase from the previous quarter.
“Our continued strategic partnerships with leading telcos in Africa, such as MTN, Vodacom and Airtel, continue to offer us a unique platform to reach our target audience through our tailor-made solutions,” Mdundo head of brand partnerships Rachel Karanu said.
The company has now gotten a significant grip on the continent as it gears to battle it out with other emerging platforms. Spotify and Boomplay are among Mdundo’s biggest competitors in the continent, a market that has more than 20 music streaming platforms.