Getbucks Microfinance Bank history

Fradreck Gorwe.
Zimbabwe Stock Exchange-listed Fintech Company GetBucks Microfinance Bank Limited (Formerly GetBucks Financial Services Limited), emerged with the incorporation of GetBucks Limited on January 17, 2012.

The latter is a holding company registered in Mauritius and wholly-owned by MyBucks SA.

The incorporated company became widely known as GetBucks Zimbabwe and commenced operations as a credit-only micro-finance institution.

Within a short period, it grew to compete with leading micro-finance lenders in the country with a current loan book of plus US$11 million.

GetBucks operated as a recourse for low-income earners, offering unsecured loans deducted at source.

This has become the company’s vision to be a micro-finance brand of choice offering financial services to areas marginalised from mainstream financial services. Offered are salary-backed short-term consumer loans via branches located throughout Zimbabwe.

On July 16, 2015, the company was issued with a licence by the RBZ to operate a deposit taking micro-finance institution dedicated to supporting low income and micro, small and medium size enterprises. The company is registered and supervised by the RBZ under its Microfinance Act. Currently, infrastructural and operational requirements are being arranged for deposit taking purposes.

The financial institution got listed on ZSE in January 2016 following an Initial Public Offering (IPO). Approval for the listing were made at a meeting of the board of directors earlier held on 10 November 2015.

The IPO sought to raise $3,2 million in capital and it was envisaged that the company’s entire issued share capital of 1 093 567 251 ordinary shares be listed on the Zimbabwe Stock Exchange.

With regard to shareholding as at the date of listing on the bourse,  GetBucks Zimbabwe was 55 percent owned by GetBucks Limited, a company registered in Mauritius and 34,06 percent owned by Brainworks Capital Management (Private) Limited, or Brainworks Zimbabwe. The remaining stake fell under various local pension funds.

Brainworks Zimbabwe, which assumed major shareholding in the company, is a diversified investment holding and corporate advisory company 100 percent subsidiary to the parent Brainworks Limited registered in Mauritius. Its shareholding soared to about 45 percent before the decision to trim in 2018.

In 2018, this major shareholder in GetBucks made resolutions to spin off financial investments as part of its restructuring exercise to concentrate on the real estate and hospitality sectors. It controls African Sun and Dawn Properties. Some of its stake in GetBucks was accordingly disposed to reduce short-term debt.

Brainworks’s shareholding brought with it some expertise mainly in the name of its two co-founders Walter Kambwanji and George Manyere. Prior to founding Brainworks Zimbabwe, Manyere was an investment professional with the International Finance Corporation (“IFC”), headquartered in Washington DC. Kambwanji on the other hand has been Finance Director of various companies that include BancABC Zimbabwe, Renaissance Merchant Bank Limited and Murray & Roberts Zimbabwe Limited.

Currently, GetBucks intends to introduce banking products such as individuals’ savings accounts as well as a debit cards to enable customers to transact electronically.

Apart from being an option for investors on ZSE, the fintech institution has become the driver of entrepreneurship in the country.

As at September 3, 2019, the company had a market capitalisation of $139 574 205 and a share price of 12 cents. Terence Mudangwe is the current managing director.