Founders Factory Africa has raised an additional $114 million to expand its hybrid tech startup investing approach across the continent.
The Mastercard Foundation and Johnson & Johnson Impact Ventures, an impact fund under the Johnson & Johnson Foundation, made the newest investment. Standard Bank, Small Foundation, and Netcare have already invested in Founders Factory Africa.
“We are excited to have new and dynamic funding, which follows on from previous investments into Founders Factory Africa by Standard Bank Group, Small Foundation, and Netcare Group,” said Alina Truhina, co-founder of Founders Factory Africa.
According to Founders Factory Africa, the funding will allow the organization to scale its model and better assist technology-led start-ups and founders across the African continent.
Founders Factory Africa has catalyzed the trajectory of over 55 innovative startups throughout the continent since its establishment in 2018. The additional cash validates its hybrid investment model, which combines capital and operational support, and will assist the early-stage investor in iterating on this model.
The cash will allow the early-stage investor to reemphasize its concept by being sector-agnostic in its investment with entrepreneurs who prioritize business fundamentals, as well as double down on solving the ecosystem’s gender imbalance. It will also broaden its capital investment offering to include non-dilutive capital, addressing the continent’s need for different capital deployment types across the venture maturity curve, as well as strengthen its internal capacity to continue to provide the best venture-building support on the continent to its portfolio of start-ups.
“Moving Africa forward necessitates more of us assisting tech-driven, solution-oriented ventures with the potential to scale and make an impact quickly.” “As Founders Factory Africa, our role is to provide founders with the funding, knowledge, and hands-on venture building support they need to achieve commercial success and create outsized, systematic impact,” said Bongani Sithole, CEO of Founders Factory Africa.