MTI Investment SE

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.

MTI Investments CEO Pontus Engström will conduct a live interview in Swedish on Infront Direkt Studio's web TV channel SME Play on March 28th, 2024 at 10:00. Engström will discuss the company's year-end report for 2023, which will be released earlier that day, and answer viewer questions. The interview can be accessed via a link, with no pre-registration required, and questions can be asked live during the event. The year-end report will be available on the company's investor website from 08:00 on the same day. MTI Investments is a venture capital and impact investing firm with a focus on East Africa. Its shares are traded on the Nasdaq First North Growth Market.

MTI Investment's CEO, Pontus Engström, is optimistic about the company's future, citing a focus on profitability and sustainability, a dynamic team, and strategic partnerships. However, the financial overview for the full year 2023 shows a net loss of EUR -1,515,872, with a total equity at the end of the period of EUR 1,495,503. The company's H2 2023 also saw a net loss of EUR -720,733. Throughout 2023, MTI Investment engaged in several significant activities, including meetings with prominent figures, investments, securing funding, and staff appointments. After H2 2023, the company increased its credit facility and opened a new hub. The company's annual report will be released in week 20 of 2024.

MTI Investment SE has released its first impact report, highlighting the social and environmental achievements of its portfolio companies in East Africa. The report demonstrates MTI Investment's commitment to Environmental, Social, and Governance (ESG) principles and the Sustainable Development Goals (SDGs). The report focuses on five key themes: empowering communities and eradicating poverty, promoting sustainable industrialization, championing gender equality, leading climate action, and pioneering sustainable consumption and production. The report is available on MTI Investment SE's website.