FBNQuest, the investment banking and asset management subsidiary of FBN Holdings Plc continues to demonstrate its support for the growth of technology startups in Africa through its recent participation in the 2nd investment vehicle of TLcom Capital (TIDE Africa Fund II – TAF 2).
TLcom Capital LLP, a Africa-focused venture capital firm, recently announced a first closing of $70 Million for its $150m Africa-focused tech fund, TIDE Africa Fund II-TAF2. This accomplishment positions the firm as the largest independent Venture Capital fund manager fully committed to Africa.
Returned Limited Partners (those who backed first fund) have contributed the majority of the capital, indicating their confidence and trust in the manager.
Limited Partners (LPs), include Development Finance Institutions, (DFIs), like Sango Capital and IFC, Proparco and CDC Group (now British International Investment) as well as the private sector. philanthropic FBNQuest Funds investors and King Philanthropies investors, respectively.
A new investor backing TAF 2 is AfricaGrow – a joint venture platform backed by Allianz (the world’s largest insurer) and DEG (the German DFI).
The new fund will allow TLcom to focus its efforts on tech-enabled African startups that are fast-growing to Egypt and to strengthen its presence in East and West Africa.
In the manager’s first Africa-focused VC fund (TIDE Africa Fund I – TAF 1) which closed at US$71Mn, FBNQuest’s capital contribution in TAF 1 helped TLcom back and catalyse eleven companies directly via co-investments of over US$200Mn into these companies in subsequent funding rounds.
This has led to the success of tech companies like Andela and Twiga Foods, Kobo360, Twiga Foods.
TLcom, with more than ten years of experience in Africa’s tech industry, has established a strong network.
The fund manager has established ecosystem initiatives such as a CEO Summit – a summit to catalyse synergy and collaboration between CEOs of portfolio companies, and a Tech Female Founders Summit – an event designed to build a collaborative network of African female tech founders.
Speaking on the TAF 2 first close, Ijeoma Agboti, the Managing Director, FBNQuest Funds stated: “We recognize the transformative role technology can play in closing the gap between African and other industries, and we are proud that our company has played a key role in this growth.
FBNQuest is pleased to have participated in the first close of TLcom’s 2nd pan-African Tech Fund (TIDE Africa Fund II).
This follows our first close commitment to the manager’s maiden fund (TIDE Africa Fund I). Our decision to support TLcom on its second fund was based on the fund manager’s track record of investing in high growth tech companies with strong business fundamentals and implementing value creation strategies that improve the operations and profitability of these companies.
We remain confident that TLcom is well-positioned to continue to deliver on our shared objective to provide capital, the required operational support and access to international partnerships to technology companies in the Africa region through the TIDE Africa Fund II.”
As a leading Alternative Investments manager, backing the TIDE Africa Fund II adds to the organisation’s selective portfolio of tech focused funds, and once again highlights its capabilities in the high growth technology venture capital space.