The investment, sourced through Futuregrowth’s High Growth Developmental Equity Fund (HGDEF), reinforces Sourcefin’s mission to address the financing needs of small and medium-sized enterprises (SMMEs) in the country.

Established in 2020, Sourcefin focuses on bridging the critical financing gap for SMMEs, enabling them to manage working capital constraints and complete public and private sector purchase orders.

The company’s approach integrates technology with procurement and project management expertise, making it a leader in supporting tender fulfilment.

The new funding will allow Sourcefin to scale its investment significantly into South Africa’s SMME sector.

Co-founder, Director, and CEO Joshua Kadish highlighted the importance of the sector for economic growth, stating:

“There is no doubt about the massive impact that well-supported SMMEs can have on our country. With the support from Futuregrowth, Sourcefin’s ability to scale investment into the SMME sector significantly increases, and it is our commitment that all R150 million will be deployed as a reinvestment into the backbone of our economy.”

Amrish Narrandes, Futuregrowth’s head of private equity and venture capital, emphasized the strategic value of the investment, saying:

“The SMME sector is vital for South Africa’s economic growth, yet traditional financing solutions often fail to meet their unique needs, particularly in government-issued orders. Sourcefin’s technology-first approach, coupled with their expertise, has created a truly transformative solution. Their proven ability to support tender fulfilment while maintaining strong financial performance made this a compelling investment opportunity.”

Futuregrowth’s HGDEF has a strong track record of supporting high-growth businesses, including hearX, Yoco, Pineapple, Retail Capital, Ozow, and Cash Connect.

This milestone places Tyme as Africa’s ninth unicorn, following Nigeria’s Moniepoint, which crossed the billion-dollar mark just two months ago.

The company aims to go public by the end of 2028.

The funding round was spearheaded by Nu Holdings, the parent company of Nubank, Latin America’s leading fintech, which acquired a 10% stake for $150 million.

Additional participants included M&G Catalyst Fund and existing investors, signaling a resurgence in investor confidence in Africa after a recent funding slowdown.

As with other African unicorns, the round primarily attracted global investors, highlighting the continent’s ongoing challenges in securing local growth capital. 

Tyme’s ascent underscores the fintech sector’s dominance in Africa’s unicorn landscape, with seven out of the nine unicorns hailing from this sector.

Founded in 2019, Tyme Group operates a hybrid model that combines digital and physical banking services, offering checking and savings accounts, debit cards, and buy-now-pay-later options.

The company serves over 15 million customers and has disbursed more than $600 million in financing to small businesses in South Africa and the Philippines.

In August 2024, TymeBank, its South African subsidiary, announced plans to enter the Indonesian market by the end of the year.

This latest funding round brings Tyme’s total investment to approximately $600 million.

The funding targets early-stage start-ups in energy, agriculture, and mobility, sectors critical to addressing the continent’s escalating climate challenges.

Equator Africa Fund specializes in supporting climate technology ventures that drive both environmental sustainability and economic growth.

With teams based in Nairobi and Lagos, the fund leverages local knowledge alongside global expertise to foster solutions that combat Africa’s vulnerability to climate change and its growing population pressures.

The urgency of the investment aligns with alarming climate projections that estimate 39 million Africans may face chronic hunger by 2050 due to climate-related impacts.

Equator’s focus on renewable energy solutions, sustainable agricultural practices, and innovations in electric mobility seeks to mitigate these effects while creating long-term economic stability.

Proparco’s investment is part of its 2023-2027 strategic pillars of advancing climate initiatives and expanding economic opportunities.

The initiative qualifies for 40% to 60% climate co-benefits, reinforcing its commitment to sustainable development.

Fabrice Perez, Head of Proparco’s Venture Capital Division, emphasized the significance of the collaboration, stating:

“Through this investment, we aim to support ventures addressing the urgent climate challenges in sub-Saharan Africa. Equator’s approach echoes our commitment to driving sustainable development and climate resilience in the region. We believe these ventures hold promise for a sustainable future, enhancing both Africa’s economic strength and environmental resilience.”

Equator’s Managing Partner, Nijhad Jamal, welcomed Proparco’s participation, highlighting the role of active funding and mentorship for emerging ventures:

“We are extremely proud to have Proparco participate in our fund and to join Equator’s mission to provide much-needed capital and active hands-on support to early-stage climate-tech ventures at a critical juncture in their start-up journey. Proparco is uniquely positioned to provide expertise, networks, and capital directly to our portfolio companies as they scale across the region.”

This investment will enable Equator to bridge the climate funding gap by empowering innovative start-ups with the resources to enhance Africa’s climate resilience.

The first investment targets Truk Rwanda, a logistics company specializing in cold chain storage and transportation of fresh fruits and vegetables.

N3F’s funding will facilitate the acquisition of refrigerated trucks and the establishment of hybrid cold rooms.

This development will enable farmers to extend the shelf life of their produce, reduce food waste, and maximize their earnings.

In addition, Truk Rwanda plays a vital role in connecting farmers in central Rwanda with vendors while offering informal training on post-harvest handling to help preserve the nutritional quality of their products.

The second investment focuses on Couvoir Amar, a poultry company based in Senegal.

With the goal of increasing domestic poultry production, Couvoir Amar aims to make poultry more affordable for lower-income households.

This initiative supports greater consumption of protein-rich poultry, addressing Senegal’s low levels of poultry intake and contributing to improved nutrition in the region.

Both investments align with N3F’s mission to strengthen food value chains, reduce waste, and improve access to affordable, nutritious food across Africa.

The funds will enable the company to strengthen its marketing and business development teams, enhance its technology, and scale operations in Nigeria, the United States, the United Kingdom, and Canada.

The funding round was led by P1 Ventures, with additional backing from Ventures Platform, Future Africa, Magic Fund, and Microtraction.

Angel investors Andrew Alli, Gbenga Oyebode, and Tunde Folawiyo also participated.

Founded in 2021 by Ife Johnson and Justin Ziegler, Juicyway operates as a marketplace that facilitates currency exchanges between local currencies and dollars.

The platform serves both suppliers—businesses that provide foreign currencies such as USD or CAD—and buyers—businesses requiring foreign currencies to complete international transactions.  

“Businesses use our services for two main purposes. Some need to convert local currency into US dollars to make international payments through our banking partners, while others leverage our accounts to bring foreign currency into the continent and convert it into local currency for disbursements,” explained Juicyway co-founder and CEO Ife Johnson.

Juicyway’s innovative approach addresses the persistent foreign exchange (FX) challenges faced by Nigerian businesses conducting frequent international transactions.  

The fund aims to support mid-market businesses across Africa, focusing on those driven by technology, innovation, and sectoral growth trends.

Samantha Pokroy, Sanari Capital’s CEO, expressed enthusiasm about the milestone, highlighting the confidence it reflects in the firm’s investment strategy. 

“With four investments already made and a strong pipeline of opportunities aligned with our themes, this capital allows us to execute at pace. We are optimistic about the positive impact on both the ground and the fund’s returns,” she said.

The fund has attracted a mix of institutional investors, including the Public Investment Corporation (PIC), Alexforbes Investments, the 27four Black Business Growth Fund, the Telkom Retirement Fund, the Motor Industry Retirement Funds, RisCura, and the National Fund for Municipal Workers.

Sanari Capital’s investment model targets businesses with the potential to scale, offering investments of up to R250 million ($14 million).

Its current portfolio includes companies with around 60% of revenues in hard currency, a reflection of their export-oriented and geographically diverse operations.

Moushmi Patel, Sanari’s executive director, noted the increasing global demand for innovative South African businesses, adding, “We are continuously inspired by the compelling technology and innovation that thrive in our market.”

The fund’s existing portfolio includes notable investments:

• Edulife Group: A provider of affordable schooling solutions.
• LightWare LiDAR: The developer of the world’s smallest and lightest LiDAR sensors.
• iiDENTIFii: Africa’s leading enterprise identity verification company.
• Energenic Holdings: A pan-African energy solutions provider.

Sanari also emphasizes diversity, transformation, and economic impact. “Private equity has a pivotal role in transforming our economy,” said Sihle Gumede 

The investment is aimed at supporting climate-focused infrastructure projects in Africa, marking a significant step towards sustainable development in the region.

GEIF, a collaborative fund managed by Schroders Capital and BlueOrchard, specializes in channeling capital to private equity funds with a strong emphasis on climate impact.

AIIF4, managed by African Infrastructure Investment Managers (AIIM), is a well-established fund in the region, leveraging extensive local partnerships to implement sustainable infrastructure initiatives.

The $5 million investment is directed at AIIF4 Climate Investment LP, a sub-fund of AIIF4 specifically focused on climate-related infrastructure projects.

Priority areas include South Africa, Morocco, and the broader sub-Saharan Africa region.

AIIM has already undertaken significant projects in renewable energy, cold chain logistics, and green data centres, showcasing its commitment to fostering a sustainable infrastructure ecosystem across the continent.

Daniel Freedman, Senior Portfolio Manager at Schroder Investment Management, praised AIIM’s expertise and its focus on climate solutions.

He highlighted the alignment between GEIF’s objectives and AIIM’s proven track record, expressing optimism about the partnership’s potential to drive clean energy, carbon reduction, and sustainable logistics in Africa.

Paul Frankish, Head of Strategic Initiatives at AIIM, welcomed GEIF as an investor and emphasized their shared commitment to addressing Africa’s infrastructure and climate challenges.

He highlighted AIIM’s investments in renewable energy, green data centres, and temperature-controlled logistics, emphasizing their impact on food security and sustainable economic development.