Kanu Equipment: Financing Exponential Growth in Southern Africa
Introduction Kanu Equipment operates as a well-governed, multi-brand African dealer and distributor. For this transaction, Kanu acted as the overseas buyer, purchasing heavy machinery for deployment into South African end markets across mining, minerals extraction, construction, and infrastructure. Over the course of the partnership, Dints has executed three Standby Letters of Guarantee (SBLGs) for Kanu, totaling $26.5m in contract value. All machinery supplied to date has been McCloskey Crushing and Screening equipment.
The Challenge To compete effectively in the Southern African market, Kanu required ready-to-sell stock on the ground and the ability to offer flexible payment terms to their end clients. However, the manufacturer financing available directly through McCloskey was limited and quickly exhausted, severely capping Kanu's potential to capture market share.
Our Strategy Dints stepped in to provide structured 3- to 5-year financing facilities. This immediate injection of medium-term finance enabled Kanu to hold essential inventory and pass favorable payment terms down to their clients.
To support future scale, Dints is also closing a new $7.5m GRO facility for Kanu—the first UKEF GRO of its kind. Because this limit is recycled, new capacity opens up as repayments are made, creating a revolving structure that significantly increases the purchasing volume Kanu can process.
Measurable Outcomes & Project Impact The financing structures provided by Dints directly enabled Kanu to capture significant Southern African market share for McCloskey. The year-over-year sales growth of McCloskey machines demonstrates the impact of unlocking this liquidity:
- Jul 2022 - Jun 2023: 1 Machine ($0.7m USD)
- Jul 2023 - Jun 2024: 17 Machines ($8.0m USD)
- Jul 2024 - Jun 2025: 38 Machines ($19.0m USD)
- Jul 2025 - May 2026 (11 Months): 60 Machines ($37.5m USD)
Financial Structure
- Executed Value: $26.5m total across three SBLGs.
- Upcoming Facility: $7.5m GRO closing shortly.
- GRO Terms: 4-year availability period with 23-month repayment terms on each quarterly order.
Strategic & ESG Focus This partnership specifically supports the growth of British manufacturing in the African market, ensuring Kanu Equipment can continuously supply high-quality British-manufactured goods over alternative international options. It also reinforces the growth of a highly structured, well-governed African distribution network.
