Ventures Platform, one of Africa’s leading seed-stage venture capital firms, has announced the $64 million initial close of its second fund, the Vice President Pan-African Fund II. The fund is targeting a final close of $75 million and will expand its scope to deepen the company’s seed-stage investments and facilitate Series A rounds across the continent.
The fund is backed by a diverse group of global investors, with 70% of commitments coming from the company’s first institutional fund. New and returning investors include the International Finance Corporation (IFC), Standard Bank (South Africa), British International Investment (BII), Proparco, MSMEDA and AfricaGrow.
Notably, the fund marks the first participation from the Nigeria Digital and Creative Enterprise Investment (iDICE) programme, a government-backed initiative aimed at positioning Nigeria as a global hub for digital innovation.
Strategic shift to accelerate Series A round
With the new fund, Ventures Platform strategically deepens its investment scope. While maintaining its foundation of pre-seed and seed-stage investments, the fund will now lead and accelerate Series A investments to de-risk and enhance value creation in high-potential ventures.
Geographically, the fund will consolidate the company’s activities in Francophone Africa and accelerate its pan-African expansion into North Africa while doubling down on its core markets, including Nigeria. The company will prioritize ventures that build “painkiller” solutions that address non-consumption and fill infrastructure gaps in key sectors such as fintech, healthtech, agritech, edtech and AI.
“The support we have received from a diverse group of blue-chip partners strongly confirms Africa’s position as the purest and most asymmetric source of non-consensual alpha and transformative impact,” said Kola Aina, founding partner of Ventures Platform. The opportunities for innovation on the African continent are limitless and the needs are vast, but realizing the full impact will require prudent capital, post-investment value creation and a de-risked commitment to breakthrough initiatives.” Innovation that creates markets.
“We believe Africa’s challenges are its greatest opportunities. By supporting resilient founders, we are driving sustainable, market-creating innovations that will shape the continent’s future and close the gaps for the next billion people.”
A new model of public-private partnership
Investments from Nigeria’s iDICE program signal significant new collaboration between public and private capital to foster innovation on the continent.
Dr. Olasupo Olusi, MD/CEO of Bank of Industry, the implementing agency of iDICE, said, “As the implementing agency of the iDICE programme, Bank of Industry is proud to partner with Ventures Platform in achieving this milestone. By investing in Ventures Platform’s Fund II, which serves as iDICE’s technology equity fund for Nigerian startups, we are furthering the Federal Government’s objective to scale up Nigeria’s technology and creative sector.” Accelerate strategic investments in high-growth technology-enabled companies and innovation ecosystems. ”
This local backing is supported by leading international development finance institutions (DFIs) and banks, who cited their confidence in the Ventures Platform team.
Nimalan Reddy, Executive Vice President, Standard Bank South Africa, said: “Standard Bank is proud to continue our partnership with Ventures Platform for the second fund. This is a testament to the quality and strength of the Ventures Platform team and our commitment to supporting high-impact entrepreneurs across Africa.”
Françoise Lombard, CEO of Proparco, added: “We are proud to renew our support for the Ventures Platform…As our first fund investment under the EU-backed Choose Africa VC program, this confirms our confidence in the team and our continued commitment to supporting the technology ecosystem in Nigeria and across Africa.”
“IFC’s Ventures Platform Fund II investment will help early-stage startups move from proof of concept to growth, accelerating innovation in areas such as fintech, healthtech, edtech and agritech, while strengthening regional value chains and creating high-quality jobs,” said Farid Fezua, IFC’s Global Director of Disruptive Technologies, Services and Funds.
Track record of supporting unicorn companies
Since its founding in 2016, Ventures Platform has funded over 90 startups. Its portfolio includes some of the continent’s most successful fintechs, including Moniepoint (Africa’s newest unicorn), Piggyvest, Raenest, LemFi, and Paystack (acquired by Stripe).
The company’s portfolio companies have achieved international recognition. Moniepoint, OmniRetail and Thrive Agric have all been named to the Financial Times’ 2024 list of Africa’s 25 Fastest Growing Companies.
