Pan-African venture capital firm 4DX Ventures has added another $6.1m to its third fund, bringing the total raised so far to over $55m as it pushes towards an $80m final close.
The new capital injection was confirmed through reliable information first seen by Launch Base Africa. It follows an earlier announcement in May 2024, when the firm had secured $48.91m for Fund III, anchored by a significant $10.5m commitment from the International Finance Corporation (IFC), the private-sector arm of the World Bank Group.
The fundraising comes amid a prolific year of investment for the firm, which has been particularly active in Egypt’s startup ecosystem.
An Egypt-focused deal spree
With operational bases in San Francisco and Accra, 4DX has recently doubled down on its strategy of backing companies in Egypt, viewing the country as a key regional hub for logistics and supply chains.
This year, the firm has already backed the Egyptian logistics platform Suplyd and participated in a follow-on round for Taager, a social commerce startup it had previously invested in.
The firm’s recent deal flow also includes:
- A $1m pre-seed investment in PALM, an Egyptian fintech focused on incentivised savings.
- Participation in a $4.9m seed round for Kenyan fintech HoneyCoin, alongside investors like Flourish Ventures and TLcom Capital.
These investments align with the fund’s mandate to back early-stage technology companies in sectors like fintech, e-commerce, healthcare, and climate tech across the continent.
4DX’s continued fundraising and deployment is a notable counter-trend in a challenging environment for African tech. The continent has been historically underserved by venture capital, receiving just 2% of global deal volume in the third quarter of 2023.
The global slowdown in VC investment has further compounded the challenges for the continent’s entrepreneurs. The IFC’s investment in 4DX’s fund came from its $225m venture capital platform, established in 2023 specifically to support fund managers and early-stage companies in emerging markets like Africa.
Who is 4DX Ventures?
Founded in 2017 by Walter Baddoo and Peter Orth, 4DX Ventures is a pan-African VC firm that partners with early-stage founders. While headquartered in the US, it maintains a strong on-the-ground presence with offices in Accra, Cairo, and Nairobi.
Its previous funds have backed some of the continent’s most well-known scaleups, including Ghana’s healthtech mPharma, Kenya’s B2B e-commerce platform Wasoko, and Egypt’s MaxAB.
Since its inception, 4DX has invested in over 40 companies whose operations span the continent. According to the firm, its portfolio companies have collectively raised over $1.2bn in subsequent funding.