Mezzanine Impact Fund launched by early-stage VC ‘Launch Africa Ventures’
The Mezzanine Impact Fund, established by early-stage venture capital firm Launch Africa Ventures, provides mezzanine growth capital to top technology companies that exhibit strong environmental, social, and governance (ESG) principles.
Launch Africa Ventures, founded in July 2020 by Zachariah George and Janade du Plessis, with chairwoman Margaret O’Connor serving on the board, closed its first fund, Launch Africa Ventures Fund 1, in March 2022 at a cost of US $36.3 million. The fund attracted investments from 238 individual and institutional investors across 40 nations. Through that fund, 133 investments were made.
In June, media reported that Launch Africa Ventures, through its second fund, Fund II, had invested a total of US $4.3 million in 16 startups from all over the continent. Fund II’s mission is to “invest, grow, and scale the continent’s top technology-driven ventures to become market leaders in their respective industries.”
The Launch Africa Mezzanine Impact Fund, which it has since announced, intends to give growth capital to technology companies in Africa and the GCC in order to unlock opportunities for M&A and market expansion, MBOs, and other growth strategies.
In order to unlock scale for Africa’s most impactful businesses, the Launch Africa Mezzanine Impact Fund will invest mezzanine growth capital into top technology companies that exhibit strong ESG principles across multiple sectors and yield measurable returns.
“The mission of the Mezzanine Impact Fund is to ensure that we continue to build a generation of innovators who own their businesses commercially, so that equity remains in the hands of the founders, driving job creation and developing products that improve the quality of life of all Africans,” the company said.
“We aim to support founders by pioneering a more tailored financial solution suitable to the African entrepreneurial ecosystem enabling growth and market opportunities for technology companies in Africa.”
Anthony Moore, a former managing director and head of investment banking at Goldman Sachs International (UK and Asia), has been named executive chairman by Launch Africa Ventures to oversee the fund. Moore intends to finance a portfolio of highly influential, fast-growing technology companies throughout Africa, with an emphasis on the Africa-GCC corridor, in collaboration with a recently formed debt solutions team.
