EIB Global has injected US$30 million in equity investment into the Seedstars Africa Ventures I venture capital fund, signaling a major boost for innovative businesses and start-ups across Africa.
This strategic investment aims to provide enhanced access to risk capital, empowering companies to expand, create skilled jobs, and elevate the quality of products and services for businesses and consumers.
The fund is set to focus on investing in companies that are developing and implementing digital technologies, particularly those addressing fundamental needs such as education, healthcare, and utilities, as well as enhancing goods, services, and efficiency. This initiative is expected to play a pivotal role in driving economic growth and fostering a sustainable ecosystem for African entrepreneurs.
EIB Vice-President Ambroise Fayolle emphasized the importance of fostering innovation and digitalization for building robust and sustainable economies.
He expressed confidence in the potential of African entrepreneurs to drive positive change, create employment opportunities, reduce inequality, and enhance the overall quality of life.
This investment aligns with the EIB’s commitment to supporting African businesses as part of Team Europe, building on the success of initiatives such as Boost Africa and the ACP Trust Fund.
Seedstars Africa Ventures I, established by Maxime Bouan, Tamim El Zein, and Bruce Nsereko Lule in collaboration with Seedstars and LBO France, has garnered significant support from the European Investment Bank.
The investment is a testament to the fund’s investment thesis and its impactful work across Africa. It also serves as a catalyst for attracting both African and foreign investors, with the aim of reaching a target size of US$80 to US$100 million.
Robert Daussun, Chairman of LBO France, and Stéphanie Casciola, CEO of LBO France, highlighted their commitment to supporting Seedstars Africa Ventures I in identifying and nurturing high-potential start-ups, contributing to the development of a thriving digital economy in Africa.
The investment from EIB Global, alongside the support from the EU’s ACP Trust Fund and the Boost Africa program, is expected to provide a significant boost to the growth and success of innovative technology companies in Africa.
This strategic partnership underscores the importance of private sector development and digitalization in driving inclusive economic growth and reducing disparities.
With the EIB’s investment, Seedstars Africa Ventures I and the companies it supports will not only receive financial backing but also benefit from technical assistance and expertise, further enhancing their potential for sustainable growth and success.
Overall, this investment represents a significant step forward in fostering a vibrant and sustainable digital economy in Africa, aligning with the European Union’s Global Gateway strategy and the EIB’s commitment to supporting impactful investments that contribute to the economic and social development of African countries.