MTI Investment SE

MTI Investment SE's Tanzanian subsidiary, MTI Advisory Limited, has given a shareholder loan of USD 30,000 to Tanswed Agro Limited. The loan will be used to purchase an advanced centrifugal machine and a broken rice grader from Indian agri-tech equipment manufacturer, Goyum. The loan has a term of 3.5 years and an annual interest rate of 20 percent. Tanswed is also considering an exclusive dealership with Goyum to distribute its agri-tech machines throughout Tanzania. The loan aligns with MTI's mission to support the growth of promising enterprises in Tanzania's agricultural industry.

MTI Investment SE has released its 2023 Annual Report, which is accessible on the company's website. The company operates in the intersection of venture capital and impact investing, focusing on the East African market. MTI Investment aims to offer significant competitive advantages to its portfolio companies and high returns to its investors. The company's shares are traded on the Nasdaq First North Growth Market. For more information, the CEO, Pontus Engström, can be contacted.

MTI Investment has released its Q1 2024 core holdings update, which includes a Net Asset Value (NAV) update. The NAV is estimated at SEK 3.53 per share, a 56% discount from the end of quarter share price of SEK 1.55. The company has increased its loan facility to Fintech Africa AB and Mtaji Wetu Finance Tanzania Limited by USD 150,000, bringing the total to USD 650,000. Other notable events include the opening of a new co-working hub in Dar es Salaam, the release of its debut impact report, and the launch of a new product by Shambani Milk. The company also recorded its largest number of participants in a program by Techbridge Invest. Post Q1 events include the conversion from a European company to a public limited liability company, finalization of a USD 500,000 convertible loan agreement, and expansion in Fintech Africa AB. The company's CEO highlighted the strong performance of Mtaji and AML Finance.

MTI Investment has published a video interview with AML Finance Chairman, Mr. Reginald Massawe, discussing the future direction of the company. Massawe explained that AML Finance is not solely interested in funding, but also in learning from international markets and practices. The goal is to elevate the company's operations. MTI Investment operates at the crossroads of venture capital and impact investing, aiming to become a leading investment company in East Africa. The company's shares are traded on the Nasdaq First North Growth Market.

MTI Investment SE has completed a rights issue of units on Nasdaq First North Growth Market, with each unit consisting of five shares and three warrants of series TO2. The exercise price for the warrants has been set at SEK 1.14. The exercise period for these warrants runs from May 10, 2024, to May 24, 2024. If all warrants are exercised, MTI Investment will receive around SEK 3.6 million before issuing costs. The last day for trading with these warrants is May 21, 2024. If all warrants are exercised, the company's share capital will increase by EUR 62,997.60 and the number of shares will increase by 3,149,880 shares, resulting in a dilution of about 21 percent. Warrants not exercised by May 24, 2024, or sold by May 21, 2024, will expire without value.

MTI Investment SE has announced a $30,000 shareholder loan facility to support its core holding company, Tanswed Agro Limited. The loan, structured over a five-year term with an annual interest rate of 20%, will be used to acquire advanced rice milling equipment, enabling Tanswed to expand its agro-processing services. The investment is part of MTI's strategy to support Tanswed's growth in the agri-tech services within the rice processing sector. Tanswed, in which MTI owns a 49% stake, was established in 2023 and has since gained traction in the rice farming community in Kahama, Tanzania. The company plans to use the loan to strengthen its foothold in the region and scale its operations.

MTI Investment SE has agreed to acquire an additional 24% of shares in FinTech Africa AB (FTA) from co-founder and CEO Pontus Engström and chairman Trond Randøy. The total purchase price for the shares is SEK 3,609,719, to be paid in the form of 2,050,976 shares issued to the sellers. Following the transaction, Engström will have no direct ownership in FTA and his ownership will be consolidated in MTI Investment SE. The transactions are subject to approval at the next annual general meeting. After the transactions, MTI will hold approximately 36.54% of FTA's total issued shares. The transactions will result in a dilution effect of 14.7% for MTI. FTA, through its subsidiary Mtaji Wetu Finance Limited, supports SMEs in Tanzania with services such as customer payment reminder solutions and invoice financing.

MTI Investment SE has agreed to a $500,000 convertible shareholder loan with AML Finance Limited, a financial services company based in Tanzania. The loan, which will be provided through MTI's Tanzanian subsidiary, MTI Advisory Limited, is aimed at supporting AML's business expansion in Tanzania. The three-year loan carries a 19% interest rate and includes a conversion option, allowing MTI to convert the loan into equity based on a pre-agreed valuation of TZS 24.3 billion after three years. AML will pledge its assets as security for the loan. The deal reflects MTI's confidence in AML's growth potential and its strategic vision for Tanzania's financial sector. AML specializes in microfinance for SMEs and has shown consistent profitability and strong performance. MTI is a publicly listed entity on Nasdaq First North in Sweden.

The board of MTI Investment SE has proposed to convert the company from a European company to a Swedish public limited liability company. The proposal will be presented to shareholders at the annual general meeting. The aim of the conversion is to simplify accounting by changing the reporting currency from Euro to Swedish Krona, as the majority of the company's operations are conducted in Sweden. The conversion is subject to approval by the Swedish Tax Agency and can take effect from January 1, 2025, at the earliest. The board believes the conversion will have limited or no impact on employees and will not significantly affect tax or shareholders. The legal advisor for the conversion is Qap Legal Advisors AB.