DOB Equity, a family-backed impact investment fund, has made a pivotal decision. Karen Serem Waithaka, an accomplished finance expert with over 15 years of experience, has been appointed as the new Chief Executive Officer (CEO) of DOB Equity, marking a significant shift in the firm’s leadership amid a backdrop of recent challenges and a recalibration of its investment strategies.
Karen steps into her new role at a critical juncture for DOB Equity, a private equity firm with roots in both Nairobi and the Netherlands. Her appointment comes following the resignation of former Co-CEOs Saskia van der Mast and Hayo Afman, who served the firm for 19 and 9 years respectively. Under their leadership, DOB Equity expanded its portfolio to over 30 companies across East Africa, championing ventures that aimed to drive sustainable and impactful growth in the region.
However, their departure also coincides with a period of turbulence for the firm. DOB Equity has faced significant setbacks with some of its African investments, notably within the local startup ecosystem. Companies like Sendy and Copia, once considered promising, have either shuttered operations or encountered severe financial distress. Twiga Foods, another high-profile investment, is currently grappling with operational challenges, raising concerns about the viability of DOB Equity’s strategy in the region.
Karen’s appointment signals a strategic shift for DOB Equity. With a robust background in financial services, including her most recent role as Chief Investment Officer at Catalyst Fund — a venture capital firm specializing in pre-seed startups — Karen brings a wealth of experience in navigating complex financial landscapes. Her academic credentials, including a Master’s Degree in Finance from the University of New South Wales and a BSc in Actuarial Science from Curtin University of Technology, further bolster her qualifications for leading DOB Equity through this critical period.
“The Fund’s vision of investing in sustainable, bold, and impactful ventures that support communities facing climate adversities on our continent aligns with my lived personal and professional experience,” Karen remarked in a statement, expressing her commitment to steering DOB Equity towards a more resilient and impactful future.
The challenges Karen inherits are substantial. The resignation of her predecessors and the recent financial struggles within DOB Equity’s portfolio have prompted questions about the firm’s future direction. Observers within the industry have noted that the firm’s impact-oriented approach, while laudable, may require recalibration to ensure financial sustainability alongside its social mission.
In March 2024, following the announcement of the Co-CEOs’ resignations, DOB Equity initiated the search for a new leader who could guide the fund through its next phase of growth. During this interim period, Coen Boevé, the firm’s Chief Financial Officer, assumed the role of interim CEO, maintaining continuity as the firm transitioned to new leadership.
Under the stewardship of Van der Mast and Afman, DOB Equity’s portfolio expanded significantly, with investments spanning various sectors, including agribusiness, renewable energy, and healthcare. Despite these successes, the recent downturns have underscored the inherent risks of investing in emerging markets, particularly in a region where political, economic, and environmental factors can swiftly impact business viability.
As Karen takes the helm, the industry will be watching closely to see how she navigates the dual challenges of restoring investor confidence and reaffirming DOB Equity’s commitment to impactful investments. Her experience, combined with a fresh perspective, may be exactly what DOB Equity needs to turn the tide and reestablish its position as a leader in East Africa’s impact investment landscape.