Jun 19, 2011

Safaricom, Old Mutual sign deal

....partnership allows Old Mutual customers to pay Toboa top ups via M-PESA

Nairobi, 15th October 2008: Old Mutual Kenya has entered into partnership with Safaricom to
enable investors pay top-ups on their unit trust investments through its revolutionary money
transfer service, M-PESA

The deal, signed today at Safaricom House, will enable investors to pay for top ups of Old
Mutual’s Toboa Investment Plan - in simple steps using M-PESA

The partnership with Old Mutual marks the launch of customer to business (C2B) functionality on
the M-PESA platform through which customers can settle their utility bills, loan repayments,
insurance premiums and investment contributions safely and conveniently.

Old Mutual Kenya’s Group Chief Executive Mr. Bertie van der Walt said the agreement is a
milestone for the company and will enable millions of Kenyans to easily boost their future
investment plans.

“Unit trusts are becoming increasingly popular as investment vehicles in Kenya and, already, we
are the oldest and biggest player in that market segment. The signing of this deal is, therefore a
significant watershed in our distribution to Kenya’s investing public,” said Mr. Bertie van der Walt
Those willing to invest in unit trusts through the investment firm should be registered to use
Safaricom’s M-PESA service. They will then register themselves with the Toboa Investment Plan
and will use the money-transfer service to make their monthly contributions.

“As a revolutionary service that has changed the lives of millions of Kenyans, we expect M-PESA
to help us penetrate the mass market in our bid to offer Kenyans reliable investment products.
This partnership with Safaricom is therefore a veritable turning point that we are offering in this
market. It is a demonstration of our commitment to boost investment levels in Kenya,” said Mr.
Bertie van der Walt

Launched in March 2007 in conjunction with Vodafone, the uptake and use of M-PESA is rising
remarkably. New registrations continue to exceed an average of 10,000 subscribers per day.
There were a total of 3.7 million registered M-PESA users by August, 2008.
“This partnership will enable Kenyans to enjoy a fast, safe, affordable and convenient way to
invest in this investment plan throughout the country using their mobile phones,” Safaricom Chief
Executive Officer Mr Michael Joseph said.

With M-PESA amounts ranging from Kshs 100 to Kshs 35,000 can be deposited, sent or
withdrawn per transaction from over 3,700 M-PESA agents countrywide.
The partnership between Safaricom and Old Mutual comes as an additional sweetener to
investors, coming a couple of months after Old Mutual launched Toboa, an investment plan
targeting Kenyans willing to invest a minimum of Kshs 7,500.

Prior to the launch of the plan, investors were required to raise about Kshs 200,000 to buy these
investment vehicles.
Old Mutual and Safaricom are constantly looking for new market segments where they can offer
innovative products and services tailor-made to suit customer needs.
About M-PESA

The M-PESA service, the first of its kind in the world, was launched in March 2007. The service
currently has over 3.7 million customers and over 3,700 Agent outlets countrywide. Safaricom
launched the electronic money transfer service in partnership with Vodafone.

To date the service has facilitated the transfer of over KShs 44 billion between customers. The
service does not require users to have a bank account; an important aspect in Kenya, where
millions of people remain unbanked. M-PESA allows account holders to purchase electronic funds
at M-PESA agent outlets and send the electronic value to any other mobile phone user in the
country, who may then redeem it for conventional cash at any M-PESA agent outlet.

M-PESA customers can hold up to KShs 50,000 in their M-PESA account at any one time, and
can do transactions of up to KShs 70,000 in a day. Between KShs 100 and KShs 35,000 can be
deposited, sent or withdrawn per transaction. The value in a customers account is protected by
the 4-digit M-PESA PIN, which should at all times be kept secret.

About Toboa investment plan
The Toboa Investment Plan is an excellent way to invest on a regular basis for wealth
accumulation. It is a pool of savings by members. Old Mutual portfolio managers then invest the
pooled funds in selected securities.

Each person receives units depending on the size and value of his/her investment. The Toboa
Investment Plan is aimed at investors looking for a mixture of safety, income, and capital
appreciation. With an investment of Kshs 7,500 every month, the Toboa Investment Plan
provides investors with the opportunity to achieve capital growth and income objectives by
investing in shares for growth and interest bearing assets for income.

Why invest in Toboa?
Pooled resources: This allows the fund managers to buy shares from a position of strength in a
diversified portfolio.

The diversified portfolio: Spreading your investment reduces the overall risk of the investment
and maximizes returns.

Professional management: Old Mutual Asset managers manage all The Old Mutual Unit Trust
Funds. They are first class professional asset managers with a track record of research and
excellent returns in the Kenyan market.

Security: Unit Trust Funds are statutorily entrusted to the Capital Markets Authority and
controlled by the Collective Investment Schemes Regulations Act, aimed at protecting the
investor. These regulations relate to the activities of the Unit Trust Management companies.
Convenience: Old Mutual Unit Trusts are easy to buy and sell, and this can be done at any time.