LoftyInc Capital, a pan-African venture capital firm, announced today the launch of its third fund, LoftyInc Afropreneurs Fund 3, which will invest $10 million in African digital businesses.
The firm has completed its first $5.5 million closure. Limited partners in the vehicle include FBNQuest Funds’ second fund, syndicates from The Green Investment Club, HNIs from companies including Google, Facebook, and ExxonMobil, as well as Andela CEO Jeremy Johnson.
Since it began raising money for the fund, LoftyInc has made checks to over 20 entrepreneurs. They work in a variety of businesses, including e-commerce, finance, healthcare, logistics, and media, in both African and non-African locations.
The company has invested in Afrikrea and Star News Mobile in Francophone Africa. Then across West Africa, in Omnibiz, RXAll, Sudo Africa, Tech Advance, Aladdin, Flex Finance, Star Kitchens Group, and pump.
Odigo, Illa, Tagaddod, and Instadiet are among LoftyInc’s North African brands. LoftyInc’s portfolio in South Africa includes Akiba Digital, Beam, and Zazu Africa, while Cashback and Dash were sponsored in East Africa. LoftyInc also owns OjaExpress and FitMatch, both of which have Diasporan investors.
LoftyInc manages three funds at the same time. The second fund, which is also the company’s first formal venture capital fund, is primarily focused on Nigeria. This third fund, on the other hand, continues LoftyInc’s first fund’s philosophy of investing in entrepreneurs across various markets and sectors in Africa and the diaspora.
The firm claims it intends to make large bets on markets other than the Big Four, which include Nigeria, Kenya, South Africa, and Egypt. Olumide Soyombo, one of Africa’s most important angel investors, was profiled by TechCrunch a month ago. In a game that contains LoftyInc founder and general partner Idris Bello, he is one of the few giants.
Bello refers to his 12-year foray into technology and entrepreneurship as an “Afropreneurship adventure.” He realized that the next wave of innovation that Africa as a continent required depended on the shoulders of up-and-coming founders while in business school in the United States.
With this in mind, Bello co-founded LoftyInc Allied Partners, a business development firm, with other entrepreneurs. It created Wennovation Hub, a technological hub and innovation accelerator, as well as LoftyInc Capital, a venture capital firm.
LoftyInc Afropreneurs Fund 1 was formed in 2012 as the firm’s first pre-seed stage investment vehicle. The fund functions more like a syndicate or an angel group, with investors that include senior leaders from significant African businesses.