Seedstars Africa Ventures secures $42 million to scale early-stage African startups 

Key institutional investors, including the African Development Bank (AfDB), EIB Global (backed by the European Union), the ACP Trust Fund – EU Compartment, and Boost Africa, alongside other global investors, backed the funding.

The funding announcement was made during the ongoing 2024 Africa Investment Forum Market Days in Rabat, an event co-founded by the AfDB and the European Investment Bank (EIB) to advance transformative African projects toward financial closure.

Seedstars Africa Ventures I, which operates from Nairobi, Dakar, and Paris, is also well on its way to achieving its $80 million fundraising target, having secured an additional $50 million in commitments.

Seedstars Africa Ventures I aims to address critical gaps in early-stage financing across the continent. The fund invests up to $2 million in seed and Series A rounds, with a follow-on capacity of up to $5 million.

Commenting on the latest funding, African Development Bank Group Director for Financial Sector Development, Ahmed  Attout, said:

 “The African Development Bank views Seedstars Africa Ventures as a strategic opportunity to provide innovative support to Africa’s venture capital industry.  

“It serves as a conduit to improve access to finance for youth and women while also enhancing the availability of risk capital in Francophone Africa. This is an area that has traditionally faced limited access to risk capital.” 

“We welcome the investment of the African Development Bank, our Boost Africa partners, in the Seedstars Africa Ventures fund,” said EIB Vice-President Ambroise Fayolle.

“Accelerating digitalisation is a priority for the EIB, and we are committed to supporting African businesses as they drive innovation and prosperity on the continent,” Fayolle added.

Seedstars Africa Ventures’ portfolio includes five transformative startups: