A global investment firm Partech Ventures, has launched a $70 million African technology fund.
Although the firm targeted $120 million, it has secured above $70million dedicated towards the fast‐growing tech ecosystem in Africa.
According to the firm, Partech intends to provide between $600 thousands to $610 million initial tickets, to talented African teams using tech to address large emerging market opportunities.
Partech Africa is a generalist tech fund with target industries ranging from Financial Inclusion ( new distribution models) to online and mobile consumer services (commerce, entertainment, education, digital services).
As well as mobility, supply chain services and digitisation of the informal economy.
“Tech VC investment in Africa, with ticket sizes from 200K to $40M, has grown almost ten times from $40M in 2012 to $367M in 2016, and is already growing faster than projected $1B annually by 2020” Cyril Collon, General Partner of Partech Africa explained.
“Most investment rounds so far have been led by US or EU based investors. The ecosystem is ready for local players, with African teams being able to finance the best African startups,” he added.
As an integral part of the global Partech platform, Partech Africa will also benefit from the firm’s collective industry expertise and unique portfolio support and business development capability.
According to him, their global network of corporate partners as well as their dedicated business development team, will expose African startups to European and US markets.
This he said will attract commercial contracts and long‐term strategic partnerships.
The launch of Partech Africa Fund was supported by major financial institutions led by IFC, member of the World Bank Group, including the European Investment Bank (EIB) and Averroès Finance III.
Partech Africa believes the fund will make an important contribution to closing the funding gap and drive entrepreneurship and growth to a higher level in Africa.