In Q3 2024, African tech startups faced a significant setback, witnessing a roughly 40% decline in funding activity compared to the same period in 2023. This downturn is part of a wider global funding slowdown, as a persistent capital shortage continues to affect the tech ecosystem. However, the recent notable funding rounds from companies like NALA, MNT-Halan, and Paymob have sparked a glimmer of optimism, hinting at a potential recovery as new investment funds are launched. But who are the investors rallying behind these African startups in Q3 2024? Here’s a sneak peek into the entities making an impact in this challenging landscape.
| Startup | Country | Investors |
|---|---|---|
| SETTLE | Egypt | Shorooq Partners, Elsewedy Capital Holding, Acasia Ventures, Plus VC |
| Happy Pay | South Africa | E4E Africa, 4Di Capital, DotExe Ventures, Launch Africa, Equitable Ventures, Felix Strategic Investment, Gaingels |
| Lablabee | Algeria | Reach Capital, Classera, Brighteye Ventures, e& capital |
| Tuzzo | Ivory Coast | Ring Capital, Mstudio (in-kind) |
| Userguest | Morocco | Al Mada Ventures, CDG Invest, Saviu Ventures, UM6P Ventures, Kalys VC, Plug & Play |
| KWiKS | Morocco | Azur Innovation Management (AIM) |
| Talk360 | South Africa | Havaic |
| Paymob | Egypt | EBRD Venture Capital, PayPal Ventures, Endeavor Catalyst, British International Investment (BII), FMO, A15, Nclude, Helios Digital Ventures (HDV) |
| FlapKap | Egypt | BECO Capital, Pact VC, A15, Nclude, QED Investors |
| Wattnow | Tunisia | Lateral Frontiers, 216 Capital, Outlierz Ventures, Satgana, Octerra Capital |
| Jackfruit Finance | Kenya | Plesion Capital, VestedWorld, Sherpa Ventures |
| Chpter | Kenya | Pani, Plesion Capital, Techstars, Norrsken, Renew Capital, ViKtoria Ventures |
| Kredete | Nigeria | BFF, Techstars, Tezos Foundation, Polymorphic Capital, Launch Africa, Neer Venture Partners, SDF, DNA Fund |
| Ampersand | Kenya | AHL Venture Partners, Everstrong Capital, Beyond Capital Ventures |
| Rubyx | Senegal | Proparco |
| WorkPay | Kenya | Norrsken22, Visa, Plug and Play, Y Combinator, Saviu Ventures, Axian, Verod-Kepple Africa Ventures, Acadian Ventures |
| Solarise Africa | South Africa | Mergence Investment Managers |
| Waza | Nigeria | Y Combinator, Byld Ventures, Norrsken Africa, Heirloom VC, Plug and Play Tech Center, Olive Tree Capital, Timon Capital (debt) |
| Fido | Ghana | FMO |
| Open Access Energy | South Africa | Factor E Ventures |
| doo! | Cote d’Ivoire | Saviu Ventures |
| Matta | Nigeria | Oui Capital, DFS Lab |
| Lucky One | Egypt | Lorax Capital Partners, KEM, DisrupTech Ventures |
| Qardy | Egypt | White Field Ventures, Vastly Valuable Ventures |
| Synapse Analytics | Egypt | Silicon Badia, Hub 71 |
| Hub2 | Ivory Coast | Enza Capital |
| Cartona | Egypt | Algebra Ventures, Silicon Badia, SANAD Fund for MSME (equity), Camel Ventures, GlobalCorp (debt) |
| Sukhiba Connect | Kenya | Musha Ventures, CRE Venture Capital, Antler, EQ2 Ventures, Goodwater Capital, Chandaria Capital |
| Educatly | Egypt | TLcom Capital, Plus VC, Egypt Venture, HBAN syndicate |
| PremierCredit | Zambia | Enygma Ventures |
| Intron Health | Nigeria | Microtraction, Plug and Play Ventures, Jaza Rift Ventures, Octopus Ventures, Africa Health Ventures, OpenseedVC, Pi Campus, Alumni Angel, Baker Bridge Capital |
| Aquarech, Coamana | Kenya, Nigeria | Village Capital |
| Shiprazor | South Africa | Launch Africa |
| Plentify | South Africa | E3 Capital, Third Sphere, TELUS Pollinator Fund for Good, Susquehanna Foundation, Fireball Capital |
| MNT-Halan | Egypt | International Finance Corporation (IFC), Development Partners International (DPI), Lorax Capital Partners, Apis Partners LLP, Lunate, GB Corp |
| d.Light | Kenya | African Frontier Capital (AFC) |
| dopay | Egypt | Argentem Creek Partner, Alder Tree Investments |
| Bio-Logical | Kenya | CrossBoundary, Redshaw Advisors, Steyn Group |
| Uncover | Kenya | EQ2 Ventures, IgniteXL Ventures, Chui Ventures, Samata Capital, Altree Capital |
| AURA | South Africa | HAVAÍC, AfricInvest |
| Sommalife | Ghana | Wangara Green Ventures |
| NALA | Tanzania | Acrew Capital, DST Global, Norrsken22, HOF Capital, Amplo, NYCA Partners |
| Blueroomcare | Nigeria | EHA Impact Ventures, TVC Labs, Innovest Africa |
| Omnisient | South Africa | Arise Investment |
| EdVentures (Investor) | Egypt | Elkheta, Saikoro, The Copywriter, Techy App, SchoolZ, ArmStrong, Tutoro, InvestED (Startups) |
| Digital Africa via Fuze (Investor) | Various | Tenderz, Remotion, Konnect Networks, Makifaa, Seabex (Startups) |
| Baobab Network (Investor) | Various | Buyam, Swyft, RentScore, EnvoyX, VOVE ID, Lemonade, Aktivate, iFunza, PeerCarbon (Startups) |
The Bottom Line
While the 40% decline in funding for African tech startups in Q3 2024 reflects the ongoing challenges in the global investment landscape, investment activity so far in Q4 is suggesting that optimism is on the horizon. The emergence of new funds and new investors in 2024 may also signal a turning point, offering renewed support for African startups. As we look ahead, identifying the investors who are stepping up to back these startups will be key to understanding the future trajectory of Africa’s tech ecosystem.