Article: http://www.coindesk.com/hands-on-with-v ... tance-app/

Once signed up, the user can then add a list of recipients using a variety of contact information. For example, Clarke said, a user could add a Kenyan telephone number to the recipient list.
"When I want to send funds to grandma, I put in her mobile phone number in Kenya," he said..
Once added, BitPesa generates a bitcoin address for the recipient, meaning the recipient never has to generate an address or wallet of their own to receive the funds. The sender can also include a note with the money transfer.
The recipient doesn't need a BitPesa account to obtain the funds. Instead, they would simply receive Kenyan shillings transferred by M-Pesa, the dominant mobile money channel there.