M-Kopa spends Sh1bn to buy device-locking company

M-Kopa Holdings Limited, which provides asset financing solutions across Kenya, Uganda, Ghana, Nigeria and South Africa, has acquired KilpiTek Oy for Sh1 billion ($8 million) to bring device-locking capability in-house.

PWBy: Ian
IN BRIEF:
  • M-Kopa has acquired KilpiTek Oy for Sh1 billion ($8 million) to bring device-locking capability in-house.
  • KilpiTek Oy is a software company located in Finland which specializes in device locking solutions, mobile/IoT management, AI forensics, and security consulting supporting micro-financing.
  • The deal was completed in March 2026 and was paid for in a combination of cash and equity.
M-Kopa Holdings Limited has acquired Finnish software company, KilpiTek Oy, for $8 million (about Sh1.04 billion), taking full control of a technology business whose software is used to remotely lock and manage mobile and Internet-of-Things devices.
The acquisition was completed on March 26, 2026, according to M-Kopa’s latest annual report.
M-Kopa said the deal was intended primarily to bring the device-locking capability in-house, strengthen its control over a critical component of its technology platform and support its wider phone-sourcing strategy.
The $8 million consideration comprised of $2.67 million (Sh347 million) in cash and $5.33 million (Sh692 million) in equity and other consideration.
KilpiTek develops software for locking, unlocking, managing and monitoring mobile and IoT devices, with its technology specifically designed for applications such as pay-as-you-go financing and micro-financing.
The acquisition comes as device financing has become increasingly central to M-Kopa's business.
M-Kopa generated a gross income of about Sh77.5 billion with Sh30.5 billion coming from interest income from asset financing for the year ended December 31, 2025.
The company originally built its business around pay-as-you-go solar products before moving into smartphones. Its financing model allows customers to acquire phones by paying an initial deposit and then making daily, weekly or monthly instalments.
Devices can be remotely locked when customers default on repayments, making the technology a critical part of M-Kopa's credit-control system.
The deal gives M-Kopa ownership of infrastructure that is at the heart of its ability to finance, monitor and protect millions of devices as it scales its asset-financing model across Africa.
The acquisition comes as M-Kopa rapidly scales its smartphone business. The company’s Nairobi factory has three production lines capable of making 7,500 smartphones a day.
The company said in April that it had produced 3.2 million devices and was targeting 10 million locally produced smartphones by 2027.

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