$20 M African youth wellbeing venture fund launched by Seedstars, Fondation Botnar
The Seedstars Youth Wellbeing Ventures mandate, which will invest US $20 million in early-stage, purpose-driven businesses aiming to enhance the well-being of youth in low- and middle-income countries across the continent, has been announced by Seedstars Capital and Fondation Botnar.
While Fondation Botnar is a Swiss philanthropic foundation devoted to enhancing the health and well-being of young people living in urban areas worldwide, Seedstars Capital is an alternative investment platform focused on assisting emerging fund managers and investing in technology companies in emerging and frontier markets.
By joining forces, the two have established Seedstars Youth Wellbeing Ventures, a $20 million fund with a mandate to invest in pre-seed to Series A businesses in industries like healthcare, environmental sustainability, local food security, water and sanitation, waste management, digital technologies, high-quality education, access to employment, financial services, safe transportation, and affordable housing.
Seedstars Youth Wellbeing Ventures, which is anticipated to co-invest with other like-minded investors, will serve as a catalyst for the entry of more capital into the continent. With a strong emphasis on businesses operating in or expanding to Tanzania, Ghana, Senegal, Morocco, and Egypt, investments will be made throughout Africa.
“Our partnership with Fondation Botnar will combine our strengths and resources to drive meaningful impact in emerging markets,” said Benjamin Langer, partner at Seedstars Capital. “Together and with the added strength of our co-investor network, we will identify, invest and scale innovative companies with the potential to transform the lives of young people across our key markets.”
The venture philanthropy lead at Fondation Botnar, Antoine Veyrassat, expressed his organization’s excitement to join Seedstars in supporting businesses that are changing the world.
“Our shared commitment to improving the health and well-being of young people aligns strongly with our investment strategy that takes a market-based approach to philanthropy in addition to our other philanthropic funding, especially as rapid urbanisation and the increasing number of young people living in cities present both unique challenges and opportunities,” he said.
With Chargel, a Senegalese logistics technology company, as one of their first joint investments, the partnership between Seedstars and Fondation Botnar has already made headway in Africa. The company has successfully raised US $2.5 million in seed funding for its venture, which uses technology to streamline operations in the dispersed logistics sector.
