Norrsken22, an Africa-focused venture capital firm, is set to take the African tech scene by storm with its $205 million fund, backed by more than 30 unicorn founders and leading institutions. The fund, with high-profile investors such as Skype’s Niklas Zennström, Delivery Hero’s Niklas Östberg, and Flutterwave’s Olugbenga Agboola, aims to foster the next generation of African tech giants in key sectors like fintech, edtech, and meditech.
Where the fund will be invested
In an interview, Norrsken22’s managing partner, Natalie Kolbe, emphasized the fund’s mission to discover and support groundbreaking tech startups in Africa. The primary focus of investments will be on key African nations such as South Africa, Nigeria, Ghana, Kenya, and Egypt.
With five investments already under its belt, including TymeBank in South Africa, the firm’s ambition is to expand its portfolio to around 20 investments within Africa’s beacon economies.
Image Source: bloomberg.com
Africa’s young and tech-savvy population is a driving force behind the increasing demand for technology services, spanning from entertainment to banking. Norrsken22 recognizes this trend and is dedicated to fueling the growth of tech businesses on the continent. Digital infrastructure development and widespread smartphone adoption are providing a fertile ground for innovation and entrepreneurship in Africa. The urbanization and growing demand for financial and health services present exciting opportunities for tech startups looking to scale.
The impressive lineup of investors in Norrsken22’s fund further underscores its significance. Institutions like Standard Bank Group, Norfund, British International Investment, the International Finance Corporation, and the US International Development Finance Corporation are joining the movement to support Africa’s tech ecosystem.
Dwindling funding in Africa
This initiative comes at a crucial time when funding for startups in Africa has faced challenges due to a global slowdown. In the first half of the year, the continent attracted approximately $2.5 billion in investment, according to Briter Bridges. The injection of $205 million by Norrsken22 is a much-needed boost for the African tech industry.
Norrsken22 is not alone in recognizing the potential of the African tech landscape. Another venture capital fund, Partech, recently raised over $260 million for investments in the continent, highlighting the growing interest and optimism in Africa’s tech and innovation sector.
As Norrsken22 sets its sights on finding and nurturing the next African tech giants, it holds the promise of empowering innovation, creating jobs, and driving economic growth across the continent. With the support of visionary founders and leading institutions, the $205 million African Tech Fund is poised to make a significant impact and contribute to the realization of Africa’s tech-driven potential.
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