Investors update: Starlink to pilot in Rwanda ahead of launch this month

Starlink to pilot in Rwanda ahead of launch this month

Highlights

• Schools are among Rwandan institutions given priority to benefit from the satellite-based internet soon to be provided by Starlink, per the Minister of ICT and Innovation, Paula Ingabire.
• The regulator, Rwanda Space Agency (RSA) recently approved Starlink’s registration, paving the way for the firm to start offering internet access services to the local market.
• The initial plan is to pilot it in at least 500 schools with the Space X-owned service scheduled to be up and running in the East African country by February 22.

Source: The New Times

Our Takeaway

Earlier this month, Nigeria became the first country in Africa to see a commercial launch of satellite broadband services by Starlink. In Rwanda, the service comes at a time when the government is also working to connect about 3,000 schools that are not connected to the internet by 2024 through financing from China Exim Bank and the World Bank. Starlink has ambitions to roll out in 20 African markets and per reports, it will go live in Kenya by the third quarter, after the Rwanda launch.

---

Treepz expands to Kenya with a $1.2m investment boost

Highlights

• Treepz, a Nigerian-based mobility startup, has launched its Kenyan operations, just over a year after entering the markets in Uganda and Ghana.
• With investment deals that have raised an additional $1.2 million over the last 12 months, Treepz is expanding its innovative vehicle rental services for businesses and commuting solutions across East Africa, with a strong focus on Kenya.
• Treepz’s Kenyan service is based in Nairobi and Mombasa, and the company has reportedly signed up a couple of high-profile companies to provide commuting services for their employees and students.

Source: Disrupt Africa

Our Takeaway

Per the latest tech VC report by Partech, mobility tech accounted for $195 million (or 4%) of total funding for African start-ups in 2022. This figure is expected to grow as demand for transportation increases amid Africa’s booming population growth and rising urbanization rates. Intercontinental developments such as the African Continental Free Trade Area will also significantly increase the movement of people, goods, and services.

---

Nigerian crypto startup Fluidcoins sold to UAE’s Blockfinex

Highlights

• Blockfinex, a Barbados and Seychelles-registered crypto exchange company, has acquired a 100% stake in Nigerian crypto payment gateway startup, Fluidcoins for an undisclosed sum. 
• The founding team of Fluidcoins will continue to work on the product, according to news of the acquisition first reported by TechCabal.
• Dan Holdings Limited, a web3 ecosystem and venture fund, and the parent company of Blockfinex, facilitated the deal. 

Source: TechCabal

Our Takeaway
While African startups received a record $6.5 billion in 2022, 8% more than they did in the previous year, there is a current funding downturn globally that is affecting fundraisings everywhere (including Africa). The current environment thus encourages African founders to consider the tradeoff between further fundraising and the option of strategic exits via mergers and acquisitions. We’re likely to see more of the latter. With regards to the Fluidcoins deal, it is Nigeria’s first reported startup acquisition this year, since Flutterwave bought Disha last year, and most importantly, in the local crypto ecosystem.