Second close of $25 M Seed funding announced by SA VC firm 4Di Capital partners

Using an undisclosed raise from Mauritius-based conglomerate IBL Group through its investment vehicle, IBL Link Investments Ltd., South African early-stage venture capital firm 4Di Capital has announced the second closing of its new US $25 million seed fund, which was established in partnership with DotExe Ventures in Mauritius.

Located in Cape Town, South Africa, 4Di Capital manages early-stage venture capital funds with a focus on the Southern and Eastern Africa area. After being founded in 2009, 4Di is one of the most well-known and respected brands in the local venture capital market. It is run by a group of business owners with first-hand knowledge of the building of companies.

Following an initial closure of US $8 million from the SA SME Fund, the second closing of its US $25 million fund has been announced. The money will be used to support seed and post-seed stage firms in South Africa, East Africa, and the entire continent. The fund will pay special attention to companies with regional or international aspirations and will accept additional investors up to its final closing in early 2023.

Those in which 4Di Capital has invested get access to its practical knowledge in developing and scaling firms in Africa. This is supported by the firm’s portfolio of early-stage investments in notable businesses including Aerobotics, LifeQ, VALR, and Wasoko that have since secured sizable amounts of capital.

“It is with great excitement that we welcome IBL Group and IBL Link Investments Ltd to our investor base. A key feature of our firm’s approach is that we prefer to have fewer investors and work very closely together with them, maximising value-add and providing a close look at the coalface,” said Justin Stanford, partner at 4Di Capital.

“Having spent the past 13 years refining our investment strategy and expanding our footprint past South Africa into the East African market and beyond, we look forward to collaborating hand-in-hand with our new partners. IBL features a network of more than 280 companies across 19 markets which will be invaluable as we continue our efforts to support the growth and development of the next cohort of highly scalable startups in the region.”