LLH Capital, the private equity firm led by well-known South African investors Romeo Kumalo and Gil Oved, has sold down a significant portion of its stake in fintech company Optasia during its successful initial public offering on the Johannesburg Stock Exchange (JSE) this week.
The listing, cited as the largest in Africa so far in 2025, provides a high-profile exit for the firm. Now, LLH Capital plans to leverage that success to fuel its next venture: a new $200m (R3.5bn) fund aimed at backing African AI-focussed companies.
The new fund will reportedly target AI-driven businesses both across the African continent and “further afield,” according to Bloomberg News. This signals a strategic move into a sector LLH Capital identifies as a key driver of transformation, alongside digital innovation and demographic shifts.
The “Active Investment” Model
The firm’s general partners (GPs), Kumalo and Oved, are pitching a hands-on approach for the new fund, consistent with their past strategy. LLH Capital has historically targeted high-growth, founder-led businesses, particularly at the intersection of financial services and telecommunications.
“Our model is largely built on active investment,” said Kumalo, a former senior executive at telecoms giant Vodacom.
“We don’t just deploy capital; we create exceptional returns by working to grow the businesses we invest in.”
Oved, co-founder of marketing agency The Creative Counsel, framed this strategy as providing more than just capital, which is increasingly essential for scaling ventures in emerging markets.
“Challenger businesses, like Optasia, are solving real problems in emerging and frontier markets,” Oved stated. “Businesses ready for investment need capital, yes, but they also need strategic leadership, structure and access to networks. That’s where we come in.”
A Track Record Built on “Shark Tank”
Both Kumalo and Oved are prominent figures in the South African startup ecosystem, known for their roles as “Dragons” on the reality TV show Dragons’ Den and as the first “Sharks” on the local version of Shark Tank.
Chairman at prominent local VC fund Kalon Venture Partners, Romeo Kumalo brings a deep corporate telecoms background, having spent over a decade at Vodacom (2004–2016). There, he held senior roles including Executive Commercial Director and CEO of its international operations. His transition to full-time investment was spurred after attending Harvard Business School’s Advanced Management Programme, and he has since built a portfolio through various funds.
Gil Oved represents the entrepreneurial side of the partnership. He co-founded The Creative Counsel (TCC) in 2001 and built it into South Africa’s largest marketing and advertising agency. Oved, who holds a B.Com (Cum Laude) and is a Chartered Financial Analyst (CFA), led TCC until its high-profile acquisition by Publicis Groupe in 2015.
Their investment portfolio, held through various vehicles, extends beyond their TV appearances and the recent Optasia exit. Past investments and exits include:
- Ozow: A major South African payments gateway.
- Bottles: A grocery delivery app acquired by retailer Pick n Pay.
- Smart Call: A telecommunications service provider.
- Sendmarc: A cybersecurity (email protection) company.
- Flow Living: A proptech platform.
- Publicis Groupe Africa: Oved’s own agency, The Creative Counsel, was acquired by Publicis.
LLH Capital states it sees the “convergence between financial services and telecoms as a key opportunity for innovation.” The successful Optasia listing provides a strong proof point for that thesis, and the firm is now betting that AI will be the next major catalyst for growth in that space.