10 hours Ago By Boluwatife Omotayo
African startups raised over $ 2.2 billion in 2024, a 25 percent year-on-year drop from the $ 2.9 billion raised in 2023, according to Africa: The Big Deal.
Despite the decline, over 430+ startups raised at least $100k in 2024. These startups were funded by 520 investors who provided the capital to finance their growth. According to The Big Deal, this number is not as large as it used to be compared to 2023 (610+) or 2022 when 1,000+ investors had participated in at least one deal, twice as much as in 2024.
It also noted that investors were less active in 2024. “The share of investors who have only participated in one $100k+ deal (69 percent) during the year is at its highest since at least 2021, compared to 2023 and 2022, respectively. “Focusing on the most active investors, while there had been up to 28 investors participating in more than ten $100k+ deals on the continent in 2022, this number has fallen to 8 in 2024, in line with 2023,” it noted.
Here are the most active startup investors who signed cheques of $100,000 and above: 54 Collective 54 Collective, a South Africa-based accelerator formerly known as Founders Factory Africa, was the most active investor in 2024. Founded by Roo Rogers and Alina Truhina, it was also the only investor to participate in more than 20 $100k deals, with more than two deals on average. Techstars Founded in 2006, Techstars was also one of the top 8 most active investors in 2024.
However, despite its investments, it participated in fewer deals than in 2023. Techstars was founded by David Cohen, Jared Polis, Brad Feld, and David Brown. Launch Africa Launch Africa also participated in fewer deals in 2024 than in 2023.
The VC solves the funding gap in the Seed and pre-Series A investment landscape in Africa. It was founded by Zachariah George and Janade DuPlessis in 2020. Since 2020, Launch Africa has raised just over $36 million in its first fund, investing $31 million into 133 startups across 22 countries, with impressive returns.
They aim to convert investments into distributions and launch new funds, nurturing top-performing portfolio companies. Read also: Meet the top 10 tech founders accelerating Nigeria’s digital space Catalyst Fund Catalyst Fund’s deals were also reduced in 2024 from 2023. With its focus on climate-led startups, the fund has supported 61 companies across 15 emerging markets between 2015 and 2022.
Its portfolio companies have collectively raised over $800 million in follow-on funding, with one unicorn, five successful exits, and a reach extending to over 14 million individuals and MSMEs globally. Digital Africa Digital Africa’s investments increased in 2024 from their investment in 2023. Its mission is to equip Africa’s tech entrepreneurs with the capabilities to design and scale up groundbreaking innovations for the real economy.
The Digital Africa initiative was driven by French President Emmanuel Macron. He was determined to lay the foundations for a new relationship between Africa and its international partners through co-development that would support Africa’s active entrepreneurship. Digital Africa fosters the talents of Africa’s digital startups – today and tomorrow.
Baobab Network Baobab is one of Africa’s leading accelerators, investing early in the continent’s best startups and helping them scale rapidly. They provide funding, hands-on support, and access to a powerful global network to help Founders become industry leaders. Baobab Network saw an increase in its investments in 2024.
Renew Capital Renew Capital’s vision is to change the way the world engages Africa—from a place of giving to one of investing. Renew Capital invests capital into African opportunity while building the ecosystems and infrastructure needed to make these investments possible. According to Africa: The Big Deal, its investments increased in 2024.
EdVentures EdVentures is an Egyptian edtech Venture Capital supporting the world’s leading educators and EdTech entrepreneurs on their mission to reimagine the future of work and learning. Its investments also increased in 2024..
