African-focused tech fund with $60 M first close announced by Janngo Capital
In order to increase its capacity to invest in cutting-edge African tech businesses, Janngo Capital has announced the first closing of its second fund at EUR34 million (US$36 million). A further EUR26 million (US $26 million) is its aim.
With the conviction that technology and funding can accelerate development and help Africa achieve the SDGs, Janngo creates, develops, and invests in pan-African technology firms with tested business models and inclusive social impact.
The Janngo Capital Startup Fund (JCSF), the company’s second fund, will invest 50% of its earnings in businesses started by, co-founded by, or benefitting women. It will be introduced at Davos in 2020.
The European Investment Bank (EIB) through its Boost Africa program, the African Development Bank (AfDB), Proparco, Burda Principal Investments (BPI), and Muller Medien are a few of the notable private companies that have invested in it.
In order to accelerate development and fulfill the SDGs in Africa, Janngo aims to invest EUR60 million in entrepreneurs that are utilizing technology. It will offer up to EUR5 million (US$5 million) in seed and growth investments to early-stage tech and tech-enabled startups that help Africans have better access to necessities like healthcare, education, and financial services; help African SMEs have better access to markets and capital; or create large-scale, sustainable employment opportunities with a focus on women and young people.
“We are proud to lead Africa’s largest gender equal tech VC fund and see major global investors rally around our vision to back entrepreneurs building digital champions across Africa. We have built a strong track record in the region through our first fund with investments in 11 tech and tech-enabled startups, including the soonicorn Sabi, Expensya and Jexport,” said Fatoumata Bâ, founder and executive chair of Janngo Capital.
“Our current portfolio companies are 56 percent women-led, 54 per cent francophone, and provide strong evidence of how these technology champions can positively contribute to solving key market failures and creating jobs in healthcare, logistics, financial services, retail, food and Agri, mobility or the creative industry. Janngo Capital Startup Fund will play a critical role in improving access to early-stage capital for tech entrepreneurs in a more equal way, on a continent still attracting less than two percent of the global VC fund.”
According to Vice President of the European Investment Bank Ambroise Fayolle, Africa offers some of the world’s fastest-growing economies as well as a young, expanding population.
“We believe we can improve its living standards and social progress by supporting entrepreneurship and innovation. That is why we are pleased to partner again with Janngo Capital Startup Fund through our Boost Africa Initiative,” he said.
