We recorded eight deal activities in the African startup ecosystem last week, the most notable of which was TymeBank’s $77.8 million pre-Series C round. This deal brought the fintech’s total funding to just over $260 million. We also recorded two pre-seed deals and two seed deals.
Pre-Seed
Kunda Kids, a Nigerian media publisher and creative studio, has successfully concluded its pre-seed funding round, raising $700,000. The round was led by Zrosk Investment Management, with participation from Voltron Capital, Argentil Capital, HoaQ, Kaleo Ventures, and notable angel investors including Abi Ajayi, Chiamaka Ezenwa, Adetayo Bamiduro of MAX, and Benjamin Fernandes, CEO of Nala Money.
Founded in 2020 by Oladele Olafuyi and Louisa Olafuyi, Kunda Kids has established itself as a reputable and award-winning publisher of children’s media, as well as a creative studio. The company’s primary goal is to introduce various aspects of African culture to children through engaging and accessible formats.
The infusion of capital will be instrumental in bolstering Kunda Kids’ production capabilities, expanding their market reach, and enabling them to bring their captivating storytelling experiences to an even broader audience.
Zydii, a Kenyan edtech startup, has successfully raised an undisclosed amount in a pre-seed funding round led by DOB Equity. Other participants in the funding round include Kua Ventures, Kaleo Ventures, and Nairobi Business Angel Network.
Founded in 2017 by Joyce Mbaya and Rhoda Kingori, Zydii offers an employee training platform that focuses on upskilling the workforce with digital courses tailored for Africa, covering both technical and soft skills.
With the newly acquired funding, Zydii aims to strengthen its presence in Kenya and expand its operations to Nigeria and South Africa, tapping into new markets to accelerate its growth and impact in the edtech sector.
Seed
Presta Freedom, a home services marketplace based in Morocco, has secured $1.1 million (MDH 11 million) in seed funding from Azur Innovation Fund.
Established in 2020 by Majid Bensilmane, Presta Freedom provides a range of home maintenance services through monthly and weekly subscription plans. The startup boasts a customer base of one thousand returning clients.
The raised funds will enable Presta Freedom to enhance its logistics and technology infrastructure, facilitating the company’s growth trajectory. Additionally, the funding will support the startup’s expansion plans into various African markets, set to commence next year.
Kofa Holdings, a Ghana-based energy technology company, has successfully secured an undisclosed amount of seed funding in a deal led by Mercy Corps Ventures, Shell Foundation, the UK’s Foreign, Commonwealth & Development Office, and Wangara Green Ventures, along with the participation of several notable angel investors.
Founded in 2021 by Erik Nygard, Kofa offers an innovative solution that enables the conversion of over 30 million gas-powered motorbikes in Africa into electric vehicles (EVs). Additionally, Kofa provides customers with various applications for the battery’s lifecycle, such as serving as a grid backup at home or powering retailer appliances in suburban shops.
With the funding obtained, Kofa is poised to accelerate its expansion into multiple cities across Ghana, leveraging its improved second-generation products. This investment will fuel Kofa’s mission to drive the adoption of electric mobility and sustainable energy solutions in Africa.
Pre-Series C
TymeBank, a digital banking platform based in South Africa, has successfully raised $77.8 million in a pre-Series C funding round led by Norrsken22, a growth-stage fund focusing on African ventures, and Blue Earth Capital, a Swiss impact investment firm.
Since its launch in February 2019, TymeBank has adopted a hybrid model combining digital banking services with physical branches. It provides customers with transactional bank accounts featuring minimal or zero monthly fees, as well as savings products.
The company plans to utilize this investment to expand its operations in South Africa and the Philippines, as well as to fuel future expansion initiatives in Southeast Asia. TymeBank anticipates closing its Series C round later this year.
Others
Dawi Clinics, an Egyptian healthtech startup, has successfully raised $8 million (EGP 250m) in a funding round led by Al Ahly Capital Holding, with co-investment from the Egyptian-American Enterprise Fund.
Founded in 2016 by Mairose Doss and Magda Habib, Dawi Clinics operates with a unique model that focuses on delivering improved health outcomes. The startup handpicks physicians and facilitates their coordinated work through a cloud-based medical electronic record platform that centralizes patient medical data.
The raised capital will be utilized to support the expansion of Dawi Clinics’ chain of clinics across the Egyptian market. The company plans to open 30 new branches as part of its growth strategy.
Play Sense, South African edtech startup, has successfully secured funding from Grindstone Ventures in an undisclosed funding round.
Founded in 2013 by Megan Faure and Lara Schoenfeld , Play Sense offers play-based learning through its online micro-schools platform called plaDorm. By combining different types of play, the platform focuses on developing core skills and school readiness for toddlers and preschoolers. Play Sense’s unique micro-school model allows teachers to establish their own play schools either at home or in a space provided by one of the families within the group.
The funding received will enable Play Sense to further enhance its franchise model and accelerate its growth trajectory, supporting the company’s expansion efforts.
Zeeh Africa, a Nigerian fintech infrastructure startup, has recently secured an undisclosed investment from Tekedia Capital.
Established in 2022 by David Adeleke, Zeeh Africa specializes in providing a unified platform for financial data. Its platform enables lending businesses to conveniently access and analyze their customers’ bank accounts and transaction histories through a single dashboard. This streamlined approach enhances decision-making processes within the B2B sector, offering greater efficiency and ease of use.
Venture Funds
The E3 Low Carbon Economy Fund for Africa (E3LCEF), established by early-stage VC E3 Capital and emerging markets-focused investment bank Lion’s Head Global Partners, has reached its first close with $48.1 million.
Notable limited partners of the E3LCEF include FMO, the Dutch entrepreneurial development bank; Swedfund International AB, the Swedish development finance institution; Proparco, a subsidiary of AFD Group and private sector development investor; and KfW, a development bank in partnership with BMZ, the German ministry for economic cooperation and development.
The fund aims to achieve a final close at $100 million and will focus on providing initial and follow-on funding to startups throughout sub-Saharan Africa. It will support ventures in the low-carbon economy sector, including solar providers and electric vehicle startups. The investment sizes will range from $500,000 to $3 million, targeting startups at the seed to Series A stages.
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