Planet42 raises $16 million from Standard Bank to repay costly Euro-dominated debt.

South Africa-based car subscription startup Planet42 has secured a $16 million loan from Standard Bank to replace its euro-dominated debt.

The company recently raised $100mn to drive its global expansion. The recent funding was co-led by Naspers of South Africa and ARS Holdings, and other existing and new shareholders. US-based Rivonia Road Capital also provided a $75m credit facility with an additional $10m in debt financing from other private investors.

With the servicing cost of euro-dominated loans relatively high, Planet42's chief executive officer and co-founder Eerik Oja says the company will use the funding to replace a large portion of the loans with locally dominated loans.