The funding will support early growth-stage companies operating in agriculture, healthcare, logistics and mobility, fintech, and climate technology in Nigeria, Cameroon, Senegal, and Côte d’Ivoire.

The investment also signals growing interest in African-owned funds that back businesses outside the continent’s heavily funded startup hubs.

The Mastercard Foundation Africa Growth Fund is a $200 million fund-of-funds initiative designed to support African investment vehicles that focus on women-led and gender-diverse enterprises.

The initiative aims to improve access to financing for businesses capable of creating jobs for young people, especially young women, across the continent.

Sabou Capital says it is targeting a segment of Africa’s business ecosystem that often struggles to secure financing despite showing commercial potential.

Many SMEs in secondary cities and overlooked regions generate revenue and have proven business models, but fail to meet the formal requirements demanded by traditional investors.

“We target secondary cities and regions that mainstream capital bypasses,” said Surayyah Ahmad, partner at Sabou Capital.

“Many of these businesses are investment-ready: the revenues are there, the model works, and the market is real. Yet they are excluded because they lack the investor-readiness infrastructure required by conventional capital.”

Africa’s startup investment market has long been dominated by fintech companies, but investors are increasingly exploring sectors tied to essential infrastructure and supply chains, including agriculture, healthcare, logistics, renewable energy, and climate-focused businesses.

Analysts say the shift reflects growing demand for businesses solving practical challenges linked to food systems, transportation, energy access, and resilience.

Sabou Capital said its model goes beyond financing by combining investment with technical assistance for founders.

Before investing, the firm works with entrepreneurs to strengthen financial reporting systems and improve documentation needed to attract additional funding from larger investors.

After investment, the firm supports portfolio companies with operational scaling and climate resilience planning.

“What we see across markets is not a lack of viable businesses, but a mismatch between how capital is structured and how these companies actually grow,” said Christian Amouo, partner at Sabou Capital.

“Our role is to bridge that disconnect so businesses can move forward on terms that reflect their realities.”

Founded in 2025, Sabou Capital invests in companies from late pre-seed to Series A, with a focus on sectors such as agroprocessing, renewable energy, logistics, mobility, and climate technology.

Its portfolio includes Tomato Jos, a Nigerian agribusiness that produces tomato paste using locally sourced tomatoes, alongside businesses in food processing and fashion.

The investment adds to a growing list of African investment vehicles backed by the Mastercard Foundation Africa Growth Fund, which was launched to channel more capital into locally managed funds supporting SMEs and job creation across the continent.