Africa-focused venture capital firm Norrsken22 has closed its debut Africa Tech Growth Fund at $205 million, $5 million more than its $200 million goal.
The VC firm launched its Africa Tech Growth Fund in January 2022 with $110 million, but support for the fund slowed as Africa’s funding scene tightened between 2022 and 2023.
While African startups raised about $5 billion in 2022, funding in 2023, as of October 2023, stood at $2.7 billion.
The $205 million completes the firm’s debut fund. The round was supported by a group of 30 unicorn founders globally including Flutterwave CEO Olugbenga Agboola, Skype Skype co-founder Niklas Zennström, iZettle co-founder Jacob de Geer, and Delivery Hero co-founder Niklas Östberg.
Norrsken22 is looking to invest in growth-stage startups across the continent. The fund is looking to invest in 20 startups, with its ticket size averaging $10 million.
According to managing partner Natalie Kolbe who spoke to TechCrunch, 50% of the fund will be used to build its portfolio with Series A and B companies, and the rest for investment in Series B and C companies.
Its portfolio of companies presently includes B2B retail startup Sabi, auto-financing startup Autochek, identity verification platform SmileID, fintech Shara, and digital bank Tymebank.
