Khula, a South African agri-tech startup, has raised ZAR126 million (US $6.8 million) in a Series A round that is still ongoing, with Absa Bank and PepsiCo among its investors.
An ecosystem of three platforms that tackle issues throughout the agricultural value chain was created by Khula, which was founded in 2018. Its app gives users access to a marketplace for fresh produce, a marketplace for inputs, and a funder dashboard that links buyers and sellers to finalize orders and payments.
After initially testing the solution with about 400 farmers, the app now boasts over 7,000 active users and more than 5,000 products. It has secured ZAR126 million (US $6.8 million) in Series A funding and intends to extend that round later this year, paving the way for future expansion.
Absa Bank of South Africa, PepsiCo’s Kgodiso Fund, AECI, and E Squared are among the investors.
“Amid efforts to continue building lasting relationships with our stakeholders, we are excited to further cement our relationship with Khula,” said Faisal Mkhize, chief executive for relationship banking at Absa Group. “As the biggest financier of agriculture in South Africa, this transaction underscores our commitment to digitisation in a way that improves efficiency and productivity, which can go a long way in making South Africa more competitive.”
