Investor Updates: July 8 2022 - Ghana’s SolarTaxi secures funding from Persistent to scale offering

Ghana’s SolarTaxi secures funding from Persistent to scale offering

Highlights

• Ghanaian e-mobility company SolarTaxi has raised funding from Persistent to further scale its offering.
• Launched by Jorge Appiah in 2018, SolarTaxi is an e-mobility company that designs, locally assembles, and distributes electric two-wheels (e-2Ws) and four-wheels (e-4Ws) vehicles for transportation and delivery services. 
• Notable customers in Ghana include e-commerce companies like Jumia and Bolt, which both use SolarTaxi’s e-2Ws to deliver customer orders around Accra, while the company also has operations in Kumasi, Takoradi, and Tamale.

Source: Disrupt Africa

Our Takeaway

Globally, the acceptance of electric vehicles is gaining momentum with adoption estimated to have risen six-fold since 2015. In 2020, there were more than 11 million registered EVs including cars, buses, vans, and trucks globally, and the number is expected to hit 145 million by the end of the decade, suggesting a global transition from gas-powered vehicles is right on track. By continents, however, Africa lags behind its peers and has shown little progress so far. Electric vehicles remain rare in most of Africa but local initiatives like SolarTaxi offer a ray of hope that the region won’t be left behind.

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SA VC Futuregrowth launches new high-growth development fund

Highlights

• South African venture capital fund Futuregrowth has announced its intention to launch its Futuregrowth High Growth Development Equity Fund (HGDEF), targeting investments in early-stage businesses that will have a strong developmental impact. 
• Futuregrowth is a leading developmental investor and South Africa’s eighth largest asset management firm, with over 50 fund products, more than 25 years of track record, and a staff complement of over 100.
• The Futuregrowth HGDEF will form part of Futuregrowth’s suite of developmental investment funds which cover a range of impact areas such as infrastructure, social services, clean power, agriculture, regional development, and more.    

Source: Disrupt Africa

Our Takeaway

Over the past year, an increasing number of new funds are targeting opportunities in Africa and other frontier markets. Uncovered Fund, LoftyInc Capital, Savannah Fund, and Ventures Platform are some of such Africa-focused firms that have launched. Meanwhile, the new Futuregrowth fund seeks to invest in a range of investments, including early-stage or highly scalable businesses that offer new services or products, niche markets, or disruptive technologies in growth markets.

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Nigerian open banking startup Mono expands to Kenya

Highlights

• Nigerian fintech startup Mono, which is building an open banking infrastructure that enables access to customer financial data and bank payments, has expanded to Kenya as it begins its post-funding continent-wide rollout.
• Founded in August 2020, Mono enables businesses in Africa to securely access financial data and accept direct bank payments with APIs all on one platform.
• The startup, which took part in the W21 batch of the renowned Silicon Valley-based Y Combinator accelerator, secured a $15 million Series A led by Tiger Global last October to accelerate its continental expansion plans.

Source: Disrupt Africa

Our Takeaway

Mono’s entry into Kenya, a thriving hub for digital financial services, is expected to enable businesses to build innovative solutions and experiences in lending, BNPL, finance and asset management, mobile money, and other areas. The launch in Kenya is Mono’s first foray into East Africa and as Africa’s tech ecosystem matures and the fintech landscape gets more sophisticated, we expect to see infrastructure-focused startups seek growth opportunities in new markets, supported by increased venture capital backing.