Ventures Platform in Nigeria, which is one of Africa’s most active early-stage tech investors, announced the opening of a US$40m pan-African fund. This will allow it to expand its portfolio and double down on its winners.
Ventures platform was established in 2016 and has been a conduit and partner for international funds and stakeholders looking for a trusted and experienced partner to do business with Africa. Seamless HR is one of the 69 startups that the firm has invested in. The company also owns Mono, Piggy Vest and Paystack.
The fund’s new US$40million investment will be in market-creating innovation. Its first close will be led by the Nigeria Sovereign Investment Authority (NSIA). Participation from existing investors as well as some of the most prominent names within Africa’s tech and corporate ecosystems will be possible. These include UAC Nigeria and VFD Group, Gbenga Oyebode and Shola Akinlade from Paystack. Global investors such as Adam Draper and Michael Seibel of Y Combinator are also involved.
This latest capital injection positions the fund to double down on its existing investments in its category-leading portfolio through subsequent rounds. The fund’s second closing is scheduled for early 2022. It will be financed by select global Institutional Investors as well as DFIs.
“Over the past six years, we have backed nearly 70 of Africa’s most exciting tech companies. This portfolio has been strong and featured one of our largest exits through Paystack last fiscal year. The incredible momentum in African tech is growing, which is attracting unprecedented attention from institutional and traditional investors worldwide. Kola Aina, founder of Ventures Platform, said that the fund has welcomed some top-tier strategic stakeholders.
We are operators and know how to build a business in Africa. We have spent years working with visionary founders to solve some of Africa’s most difficult problems. Now is the time to take it further. We are fully optimizing our deep expertise in navigating the nuances African market. As we move forward, we are developing a global network LPs in established markets like Europe, USA (US), and Asia. Many of these LPs partner with us because of our track record of backing winners. They also appreciate our access to opportunities and our experience on the ground, which is crucial for generating returns.
Ventures Platform has a ticket value of up to US$1,000,000 and is well-positioned to fund follow-on rounds for successful startups that create market-creating innovation across pre-seed and seed stages. This includes sectors such as fintech, eHealth, enterprise SAAS and digital infrastructure. Venture Partners is a group that includes Seni Sulyman (ex-VP at Andela), ex-COO of Bellhop and founder at Black Ops.