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Over $3bn invested in African startups in 2021

Felix Oloyede

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African investors meet in South Africa

The momentum and capital of a technological revolution in Africa. Investors at the 8th Early Stage Africa Investor Summit celebrated record deals on the continent exceeding the $3 billion invested in 2021 in African startups.

On November 3, 4 and 5, VC4A (vc4a.com) and ABAN (ABANangels.org) hosted the 8th edition of the Africa Early Stage Investor Summit (# AESIS2021) (www.africainvestorsummit.com): online and completed by – Person Investor Meetups hosted in 13 cities around the world. The event hosted more than 2,000 delegates from 75 countries around the world, the largest gathering to date, with more than 600 angel investors and VC startups connecting to the annual summit to take stock of the progress of the event. industry and chart the way forward. .

AESIS 2021 was fueled by record deals and start-up activity on the continent. The number of startups getting funding in Africa exceeds startup funding globally. From 2015 to 2020, the number of African tech startups receiving financial support grew by 46% per year, six times faster than the global average, and marks a new period of growth for technology investment in Africa. See the presentation of the research (https://bit.ly/3qj50DK) in the game VC of Max Cuvellier d’Afrique: The Big Deal.

David S. Rose, renowned entrepreneur and angel investor, explained in his speech (https://bit.ly/3wsWXVU), “The industry is driven by a young and growing population who are tech-savvy and eager to start. a company. The African population is increasingly connected and eager to consume digital solutions. ‘ These trends fuel a growing interest in the continent and ensure continued investment and support for African entrepreneurs.

The investment opportunity was unpacked by industry leaders such as Lexi Novitske, Managing Partner at Acuity Venture Partners, Tidjane Deme, Managing Partner at Partech, Pardon Makumbe, Co-Founder and Managing Partner at CRE Venture Capital, and Aniko Szigetvari, founding partner at Atlantica Ventures (watch the panel) (https://bit.ly/3ERaJ7Q). The extensive program was complemented by a series of Masterclasses reserved for investors and DFI Speed ​​Dating, a learning track made possible by the UK South Africa Tech Hub.

At the same time, AESIS2021 showcased many unique initiatives aimed at unlocking the necessary capital for businesses in the early stages of their development, starting with the launch of Catalytic Africa, the African Startup Matching Fund, a co-creation of ABAN and AfriLabs with the support of the French Development Agency (AFD) and Digital Africa.

Angel investors and angel investor networks registered with ABAN will be able to double or triple their investments in African startups registered with hubs approved by AfriLabs.

Additionally, new funds were announced by LoftyInc and Cairo Angels, fireside talks explored the future of investor unions like the Future Africa Collective, and new investment plans and views have been shared by some of the continent’s most prolific investors such as Kepple Ventures, 500 Global, Launch Africa, Flat6Labs, and the Naspers Foundry.

Improving investor support and access to capital for women was also a priority. Tokunboh Ismael, co-founder of Alithea Capital and president of the African Venture Capital Association (AVCA) made it clear in her speech, that the industry would not realize its potential until that it would not meet the needs of the continent’s women, the greatest untapped asset for Africa’s future.

His call to action was reflected in several initiatives including Dazzle Angels, Rising Tide Africa and ShEquity, sharing important updates and providing an updated roadmap on how the industry is working to address the issue.

Over 80+ leading African investors addressed audience # AESIS2021 during the three-day event. As organizers, we are extremely grateful to the UK South Africa Tech Hub for sponsoring the Learning Track and Masterclass Series for Investors. We also thank GIZ as a general partner of the summit and for helping to make AESIS2021 a free event. The program and meetings would not have been possible without the partnership and support of the Work in Progress program and Naspers, to whom we sincerely thank.

Mathew Marsden, co-founder of GetLion concluded: “The event brought together leading minds in African investment, and in summary, the future is bright. The appetite for investing is growing, more angel funds and syndicates are emerging, a wide range of ecosystems are thriving, and more “exits” are expected.”

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