Algebra Ventures, an Egyptian venture capital firm, has received a US $15 million commitment from the International Finance Cooperation (IFC), a World Bank Group member, for its US $90 million second fund.
Algebra Ventures invested in firms such as Trella, elmenus, GoodsMart, and Halan with its initial US $54 million investment.
Algebra Ventures’ new $90 million funds will make its initial investments in East and West Africa, with a particular focus on women-led enterprises and those servicing rural populations.
With a $10 million investment, IFC co-anchored Algebra’s initial fund, and it is now sponsoring its second offering. This time, a $15 million pledge will be used to promote the growth of about 20 technological businesses.
“We are delighted to see IFC return as a limited partner in our second fund, having invested in our first fund five years ago as well as directly into our portfolio. IFC has been one of our strongest partners since day one and believed in our vision when there was no venture capital to speak of in Egypt. We look forward to continuing to strengthen our partnership going forward,” said Tarek Assaad, managing partner at Algebra Ventures.
Egyptian businesses were well prepared to spearhead transformation in the country’s economy, according to Yasmine El-Hini, IFC Egypt country officer and interim country manager for Egypt and Libya.
“With this investment, we are helping to push the country’s startup scene forward and encourage innovation,” she said.
