A LETTER FROM THE PRINCIPALS · Q3 2026

Financing Kenya's
clean-cooking transition.

Credit Engine buys LPG from AGOL, retains legal title, and consigns it to independent filling plants. Veriphy monitors every kilogram — and sweeps cash automatically through six banks and M-Pesa. Nine sites live. US$4 million rotating monthly.

$4.0M
Rotating monthly, 9 plants
3.51M kg
Financed throughput / month
98.4%
Cash-sweep repayment
CE-Veriphy Network, live monitor
1M3M6M1YMAX
Monthly throughput
3.51M kg
+2.14% today
Net contribution
KSh 13/kg
Base case Y1
Repayment
98.4%
Cash-swept
4.0M3.0M2.0M1.0M
Feb'25May'25Aug'25Nov'25Feb'26Jul'26
Filling plants · live positionsSTREAMING
NBI
Nairobi IndustrialNairobi · financed
620,000 kg
+3.4%
MSA
Mombasa PortCoast · financed
540,000 kg
+2.1%
KSM
Kisumu LakesideNyanza · financed
420,000 kg
+1.8%
NKR
Nakuru CentralRift Valley · financed
385,000 kg
−0.4%
— Rails, partners & counterparties
AGOL
M-Pesa
KCB · Equity
NCBA · Absa
EPRA
Dhamana · PIDG
§01 — APPROACH

Three disciplines.
One control layer.

Independent filling plants — roughly 70% of Kenya's LPG market — cannot be underwritten by banks because there is no real-time visibility into stock, sales and cash. Veriphy closes that information gap. Credit Engine puts capital through it.

— §01.1 / TITLE

Retention of title, not unsecured lending.

Credit Engine purchases LPG directly from AGOL and retains legal title until the filling plant has paid. Recovery is a matter of recovering physical inventory, not pursuing an unsecured claim on a small operator with no hard collateral.

3.51M kg
CE-owned inventory in circulation monthly
— §01.2 / CONTROL

Real-time monitoring, not periodic reporting.

Veriphy captures unit-level stock, sales and cash at each plant in real time — with automated EPRA compliance and cash sweeps at the point of sale. Integrated with six commercial banks and M-Pesa.

6 banks
Integrated · plus M-Pesa mobile-money rails
— §01.3 / ALIGNMENT

Founder economics,
earn-in against milestones.

Founders earn up to 20% of Veriphy equity against committed credit-facility milestones — 10% at $10M, a further 10% at $20M cumulative. Compensation is tied to what the platform actually finances, not what a forecast says it might.

100%
Of founder economics tied to milestones
§02 — PRODUCTS

Three capital layers.
One control layer.

Stock finance is live and rotating today. Cylinder finance and the EV Tuk Tuk last-mile network are the next two capital layers, riding the same Veriphy rails.

CE.STK · LPG STOCK FINANCE LIVE

LPG stock, on terms.

Title-retained inventory financing, direct from AGOL to filling plant.
Live throughput3.51M kg/mo
ContributionKSh 13/kg

Credit Engine purchases from AGOL at KSh 118/kg, retains title, and consigns to filling plants at KSh 147/kg. Veriphy monitors stock and sweeps repayment at the point of sale.

  • Legal title retained until settlement
  • Cash sweep across 6 banks + M-Pesa
  • Automated EPRA compliance reporting
  • 98.4% cash-swept repayment
CE.CYL · LPG CYLINDER FINANCE SCALING

Cylinders, in rotation.

Working capital for the cylinder float circulating between plants, distributors and agents.
Active plants9
Platform feeKSh 5/kg

The physical asset itself, financed on the same rails. Distributor and agent working-capital lines against monitored cylinder stock and rotational cash flows.

  • Distributor & agent financing lines
  • Cylinder-level tracking on Veriphy
  • Rotational working-capital cycles
  • Segregated cash flows per counterparty
CE.EV · EV TUK TUK NETWORK PILOT

Last-mile, electric.

CE-Veriphy owned three-wheeler fleet, women-led, from plant to household.
Target ratio10 TT / plant
Fleet marginKSh 25/kg

Deliberate female-driver programme. 600 kg per TT per day. Displaces ICE distribution journeys and extends each plant's catchment into households defaulting to wood and charcoal.

  • 600 kg / 100 cylinders per TT per day
  • Women-driver participation designed in
  • Kinetic Green / FCDO catalytic fit
  • Displaced-ICE km measured on Veriphy
§03 — LIVE NETWORK

Nine plants, monitored.

Every kilogram financed, every shilling swept, reconciled and displayed in real time. The nine plants below are the current operating network — the base against which the 20 / 50 / 100 rollout is being underwritten.

Throughput and repayment figures update live from the Veriphy platform. EPRA compliance is filed automatically.

→ Request the plant-by-plant reconciliation pack (PDF, 42 pp.)

PlantKG / MOΔ 24HREPAYCASH/CRTREND
Nairobi IndustrialNBI · Nairobi
620,000
+3.4%
99.2%
44/56
Mombasa PortMSA · Coast
540,000
+2.1%
98.7%
49/51
Kisumu LakesideKSM · Nyanza
420,000
+1.8%
97.9%
42/58
Nakuru CentralNKR · Rift Valley
385,000
−0.4%
98.4%
40/60
Eldoret NorthELD · Rift Valley
340,000
+1.2%
97.1%
41/59
Thika GatewayTHK · Central
310,000
+2.6%
99.0%
45/55
Meru HighlandsMRU · Eastern
285,000
+0.9%
96.8%
38/62
Malindi CoastMLD · Coast
265,000
+1.5%
98.1%
47/53
Nyeri RidgeNYR · Central
335,000
+4.1%
99.4%
46/54
Network total · 9 plants
3,500,000
+2.14%
98.4%
44/56
$4.0M/mo
§04 — UNIT ECONOMICS

KSh 147 in.
KSh 13 retained.

Every kilogram sold contributes KSh 13 to CE-Veriphy after procurement, transport, platform fee and direct credit cost. On 3.5 million kg per month, that is KSh 546 million of annual net trading contribution before central OPEX.

160 120 80 40 0 +147 Sell price −118 AGOL buy −10 Transport −5 Veriphy fee −1 Credit cost +13 Net
Gross
KSh 147
Net / kg
KSh 13
Margin
8.8%
Annualised
KSh 546M

A thin spread, controlled capture.

The Base Case — KSh 147 sell, KSh 118 AGOL buy, KSh 10 transport, KSh 5 Veriphy fee, KSh 1 direct credit cost — yields KSh 13 per kilogram in net trading contribution.

The Bull Case reflects a KSh 101 procurement scenario currently under discussion with AGOL but not yet contractually confirmed. The Bear Case reflects a +KSh 10 upward AGOL move, absorbed rather than passed through.

Under the corrected pricing, Year 1 exit run-rate EBITDA is approximately US$6.0M. Full Year 1 actual EBITDA is approximately US$4.1M. Both are reconciled against monthly volume in the model.

→ Full landed-cost bridge and sensitivity table available in the data room.

— Capital & product flow — from AGOL terminal to household —
KSh 118/kg Consigned Retail sale Stock signals Cash sweep Reconcile Repay ↑ Auto-file AGOL Import terminal Credit Engine Title retained Filling plant Consignment Customer Household · biz Veriphy Live monitoring Payment rails M-Pesa · 6 banks EPRA Compliance
§05 — LAST MILE

Electric.
Women-led. Doorstep.

Beyond stock finance: a CE-Veriphy owned electric three-wheeler fleet, delivering LPG cylinders last-mile — extending each plant's catchment into households currently defaulting to wood and charcoal. Kinetic Green / FCDO catalytic fit; Shell Foundation pilot proposal in discussion.

Revenue split · per KG delivered
Plant5
Driver20
CE-Veriphy fleet25
TOTAL POOL · KSH 50 / KG

Each Tuk Tuk is proposed to carry two paid roles — a driver and an assistant — doubling the direct livelihoods per vehicle and adding a second point of stock verification per delivery run.

Stage Plants Tuk Tuks Jobs Fleet margin / mo
Today990180KSh 35.1M
Near-term20200400KSh 78.0M
2028 target505001,000KSh 195.0M
2029 target1001,0002,000KSh 390.0M
§06 — TRAJECTORY

Nine plants today.
One hundred by 2029.

Base Case rollout from the July 2026 memorandum. Kenya has 65 licensed filling plants today and roughly 190 across the national market. Our near-term target is 100 — a little over half of the addressable footprint.

YearPlantsThroughputRevenueEBITDAMarginProgress vs. 100
2026 LIVE
9
42.1 kt/yr
$4.2M
$1.8M
43%
9/100
2027 Base
20
96.0 kt/yr
$9.6M
$4.1M
43%
20/100
2028 Base
50
240 kt/yr
$24.0M
$12.6M
53%
50/100
2029 Target
100
480 kt/yr
$48.0M
$26.4M
55%
100/100
"A financing platform that owns the fuel until it is paid for — and monitors the till until the shilling arrives. That is what unlocks a market banks have never been able to underwrite."
— George Ikua
Founder, Veriphy · Nairobi, 2023
§07 — THE PAPER

Two instruments.
One thesis.

A strategic convertible for equity upside at a US$25M cap, and a short-duration debt facility for current yield against a title-retained, monitored inventory pool. Both intended for qualified investors.

CE·CONV STRATEGIC CONVERTIBLE
Size$1.0M — $1.5M
InstrumentSAFE / Convertible
Valuation cap$25M post-money
Discount20% to next round
Long-stop24 months
Milestone protect15% cap reduction if missed
CE·PILOT SHORT-DURATION DEBT
Size$500K
Pricing3% / month
SecurityLPG title retention
UseProof-phase inventory float
Graduation→ 14% institutional
MonitoringVeriphy real-time
§08 — RISK

What we say.
What we still owe you.

The convertible structure gives investors price protection. The pilot debt is over-collateralised by title-retained inventory. The risks below are the ones we are actively working on, and the ones an independent review of our memorandum flagged.

STRUCTURAL
Supplier concentration
AGOL holds an estimated 95% of Kenyan import share. Diversification workstream sits alongside the 2026 Taifa Gas terminal launch and existing Lake Gas capacity.
LEGAL
Title enforceability
CE retains legal title on all consigned inventory. A Kenyan legal opinion on segregation, insolvency treatment and perfection is a live workstream for the data room.
COMMERCIAL
Monitored → financed
Not all 3.5M kg monitored throughput is CE-financed yet. Signed pilot allocations at named plants are the next milestone and a priority data-room item.
FINANCING
Pilot cost of capital
3% per month is proof-phase pricing, not the long-term funding cost. Graduation path targets 14% p.a. institutional once portfolio evidence exists — via banks, private credit and Dhamana guarantee.
MARKET
Price movement
AGOL price moves are typically passed through to filling plants. Minimum contribution thresholds and repricing rights are built into supply arrangements; allocations can be suspended.
GOVERNANCE
Key person
Founder redundancy, IP escrow and business-continuity provisions are being formalised alongside the institutional round. Board observer rights on ≥$1M commitments.
§09 — TEAM

Operators.
Structured capital.

Deep LPG-sector operating experience in Nairobi. Structured trade and inventory-finance experience in London. Bridged by an African credit-markets partner working DFI and private-capital networks.

GI
George Ikua
Founder, Veriphy · CTO CE-Veriphy
Founded Veriphy in 2023. LPG-sector operator with deep filling-plant relationships across Kenya. Owns the technology, EPRA-integration and cash-sweep architecture.
CB
Charlie Blake
Co-Principal, Credit Engine
Structured trade and inventory finance. Prior institutional credit desk. Responsible for capital formation, structuring and lender relationships.
TF
Tatenda Furusa
Co-Principal, Credit Engine
African credit markets and DFI capital. Bridging PIDG / FCDO / Dhamana partnerships and the institutional funding graduation path from pilot to scale.
§10 — INVITATION

For investors backing real infrastructure.

If you're evaluating title-secured, technology-enabled inventory finance in African clean-cooking markets — we'd be glad to walk you through the data room and the plant-by-plant reconciliation.