Raseedi acquires Kashat, Pharos Microfinance to offer instant loans to underbanked

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Raseedi, a fintech company focused on serving Egypt's underbanked population, has acquired Kashat and its subsidiary Pharos Microfinance in an equity deal, as per a press release.

The acquisition allows Raseedi to expand its services by offering instant cash loans of up to EGP 3,000 to underserved individuals.

The move supports Raseedi’s efforts to introduce financial services to users without prior fintech experience or credit history.

Its app, which facilitates affordable calls, online top-ups, and bill payments, will now offer access to Pharos Microfinance’s cash loans.

These loans will be disbursed to mobile wallets after a credit evaluation using Raseedi’s scoring algorithm.

Pharos Microfinance, licensed by the Financial Regulatory Authority (FRA), focuses on nano loans for solo entrepreneurs and small businesses.

Its short-term loans, with terms ranging from one to three months, aim to support business operations and manage cash flow.

Raseedi plans to simplify the loan application process with a digital eKYC system, enabling users to apply and receive approval in less than five minutes.

The company intends to expand its microfinance services across Africa and Asia, subject to obtaining the required regulatory approvals and licenses.