The fund, known as Secha Capital Impact Fund II, is structured to support the expansion of small and medium-sized enterprises operating in South Africa’s core economic sectors.

Its investment focus spans industries such as agriculture, manufacturing, energy and consumer goods—segments often described as the backbone of the country’s real economy.

Unlike traditional private equity approaches that primarily inject capital, Secha Capital’s strategy combines funding with hands-on operational support.

The firm deploys skilled professionals directly into the businesses it backs, where they work alongside founders to strengthen execution in areas such as sales, operations and strategic planning.

This “operator-investor” model is designed to address a persistent challenge for many SMEs: limited access to experienced management talent needed to scale effectively.

The model has recently been extended through a leadership-focused track that prepares experienced professionals to step into chief executive roles within portfolio companies.

This move reflects a broader emphasis on building internal leadership capacity as part of the growth process.

So far, the fund has committed roughly 40% of its capital across eight companies.

These businesses operate in a range of sectors, including electronics production, energy optimization technologies, controlled-environment agriculture and supply chain systems.

Collectively, they have generated more than 1,000 jobs, underscoring the fund’s emphasis on employment creation and operational growth rather than early-stage venture investing.

E Squared Investments, an impact investor focused on ventures that deliver both financial returns and social value, said its participation reflects a shared interest in supporting businesses that can drive job creation in a challenging economic climate.

The firm typically provides long-term, “patient” capital alongside post-investment support to help enterprises grow sustainably.

The partnership highlights a wider shift in SME financing across Africa, where investors are increasingly pairing capital with execution support.

This approach recognizes that funding alone is often insufficient for growth-stage businesses that face operational and talent constraints.

Secha Capital is aiming to complete fundraising for the vehicle at around R650 million (approximately $40 million), with a final close targeted for July 2026.