Pan-African Tech Funding
Ventures Platform Closes Oversubscribed Pan-African Fund II at $84 Million
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New commitments include the European Bank for Reconstruction and Development (EBRD) approving up to $8 million for VP Pan-African Fund II and Norway’s Norfund committing $6 million earlier this year.
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Ventures Platform’s portfolio already includes Moniepoint, PiggyVest, OmniRetail, Raenest, and SeamlessHR, illustrating the fund’s ability to back early-stage startups that have demonstrated traction.
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VP Pan-African Fund II is about 1.8 times the size of Fund I (roughly $84 million versus $46 million), and it targets entry ownership of 10–12% with larger ticket sizes, while maintaining reserve capital to double down on winners; the fund will pursue three entry strategies: pre-seed, seed, and pre-Series A.
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Kola Aina, founder and managing partner of Ventures Platform, described a new generation of African founders with greater technical depth, stronger governance, bigger ambition, and a clear understanding of their markets, noting these businesses are built for resilience as well as growth.
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Development finance institutions are increasingly using established local fund managers to reach African startups, with Norfund stating Ventures Platform’s local knowledge enables it to invest earlier than a direct DFIs could.
Ventures Platform, Africa's leading seed-stage venture fund, closed its second institutional fund at $84 million, surpassing its $75 million target by nearly 13%. Newsposl reported the oversubscribed close comes just three years after the firm's first fund, signaling growing confidence from global institutions in Africa's tech ecosystem despite a cautious venture climate worldwide.
The new $84 million fund is nearly double the size of Fund I's $46 million and attracted fresh backers including the European Bank for Reconstruction and Development and Norway's Norfund, alongside existing investors like the International Finance Corporation and Standard Bank. Tech Build Africa noted the close defies the broader global venture downturn affecting early-stage funding.
New Institutional Backers Bet on African Startups
Development finance institutions are stepping up commitments to Africa's tech scene through established local fund managers. Financial Fortune Media reported the European Bank for Reconstruction and Development approved up to $8 million for Fund II, while Norway's Norfund committed $6 million. A consortium of family offices, Alphatron, and the Ashesi University Foundation also joined the round, recognizing local managers' ability to reach early-stage companies faster than direct institutional investment could.
Fund Targets Bigger Bets While Backing Portfolio Winners
VP Pan-African Fund II will pursue pre-seed, seed, and pre-Series A investments with entry ownership targets of 10–12%, larger than Fund I's typical cheques. The Condia reported the fund maintains reserve capital to double down on winning portfolio companies through subsequent rounds. Current portfolio companies like Moniepoint, PiggyVest, SeamlessHR, and OmniRetail demonstrate the fund's track record backing early-stage startups that achieve real traction.
A New Generation of African Founders Rising
Kola Aina, Ventures Platform's founder and managing partner, emphasized a shift in founder quality across the continent. He noted today's African entrepreneurs have deeper technical skills, stronger governance practices, bigger ambitions, and sharp market understanding. These founders build businesses designed for both resilience and growth—a mindset that attracts institutional capital even when global venture funding contracts. ITWeb Africa highlighted how this new wave of startups commands confidence from international development finance institutions seeking exposure to Africa's emerging tech economy.
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