With a second fund targeting $75M, the Pan-African VC firm eyes larger ownership stakes and Series A rounds amid a tightening global capital market.
Ventures Platform Raises $64M for Second Fund
Ventures Platform, a Lagos-based venture capital firm known for backing early-stage African startups, has raised $64 million so far for its second fund, with a final close target of $75 million. The announcement was made by founding partner Kola Aina, who emphasized the firm’s mission to deepen its impact across Africa’s underserved markets.
- This follows the firm’s first institutional fund of $46 million, launched in 2022.
- The second fund allows Ventures Platform to expand into Series A investing, aiming for larger stakes in high-conviction deals.
Nigeria’s Government Joins as First-Time LP
In a significant move, the Nigerian government has become a limited partner through its Investment in Digital and Creative Enterprises (iDICE) program—marking its first-ever investment in a VC fund.
- This signals official support for venture capital as a driver of innovation and job creation.
- Nigeria hosts Africa’s largest startup ecosystem, home to several unicorns including Moniepoint and Paystack, both Ventures Platform alumni.
Global and Regional LPs Back the Fund
The second fund has attracted a blend of institutional and private backers, including:
- IFC, British International Investment (BII), Proparco, and Standard Bank
- AfricaGrow and MSMEDA (Micro, Small & Medium Enterprise Development Agency)
- European family offices like Alder Tree Investment
- Tech veterans such as Michael Seibel, former CEO of Y Combinator
“About 70% of our prior fund’s LPs returned,” said Aina, pointing to strong performance metrics and capital recycling.
Strategy: From Pre-Seed to Series A with “More Conviction”
With its second fund, Ventures Platform will go beyond seed-stage startups and target Series A rounds, aiming for larger ownership positions and longer-term bets.
- This shift is timely: Series A funding in Africa has become harder to access amid a global pullback from venture capital.
- The fund will continue to target “painkiller” startups—businesses that solve for non-consumption in fintech, agtech, edtech, health tech, and AI.
Portfolio Highlights: Fintech, Health, and Market Expansion
Ventures Platform has invested in over 90 startups across Africa, focusing on companies that expand access in underserved sectors. Notable portfolio companies include:
- Paystack (acquired by Stripe)
- Moniepoint (backed by Visa)
- LemFi, SeamlessHR, OmniRetail, Raenest, and Remedial Health
“These are market-creating businesses,” Aina said. “They turn non-consumption into viable markets—whether that’s online payments or healthcare distribution.”
Geographic Expansion into Francophone and North Africa
While Ventures Platform continues to anchor itself in Nigeria, the firm is also expanding into Francophone West Africa and North Africa, where it’s already made several investments.
- This early entry gives Ventures Platform first-mover advantage in emerging subregions.
- The firm aims to build Pan-African deal flow, increasing its ability to spot early winners.
Addressing the Exits Dilemma in African VC
Despite the continent’s $12B in tech funding since 2015, exits remain scarce. Still, Aina says the firm has returned capital across four of its six previous investment vehicles, citing top-tier performance for its vintage.
- The firm recycles capital through syndicates and maintains long-term confidence in Africa’s upside.
- Aina frames the current environment as a test of VC patience and local context awareness.
Why Global LPs Are Betting on Africa
Africa may be facing a short-term funding slowdown—from $5B in 2021 to $2B in 2024—but its long-term fundamentals remain compelling. Aina calls Africa the “purest asymmetric play for non-consensus alpha.”
“By 2050, one in four people will be African. GDP growth rates are double the U.S., and the bulk of value is still offline. The market is wide open for disruption—if you’re willing to play the long game.”
Ventures Platform has raised $64M for its second fund, attracting Nigeria’s government as a first-time LP alongside global investors. With a target of $75M, the VC firm will now back Series A rounds, expand across Africa, and invest in “painkiller” startups driving market-creating innovation in fintech, health, and more.
