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African Startup Ecosystem

Ventures Platform Raises $64 Million to Back Africa’s Next Wave of Market-Creating Startups

Ventures Platform, one of Africa’s most active early-stage investors, has secured $64 million toward its second fund as it moves closer to a $75 million final close. The Lagos-based firm, led by Founding Partner Kola Aina, says the fund will enable it to double down on its mission to back transformative African founders building real-world solutions that unlock access, inclusion, and opportunity.

A Historic Backing from Nigeria’s Government

For the first time, the Nigerian government has invested in a venture capital fund through its Investment in Digital and Creative Enterprises (iDICE) program. This milestone positions Ventures Platform at the heart of a broader national push to strengthen the country’s innovation ecosystem. Nigeria’s involvement reflects a growing recognition that startups are not just private ventures but national assets driving jobs, infrastructure, and global competitiveness.

Global Confidence in African Innovation

The second fund brings together a diverse pool of global investors, including the IFC, British International Investment (BII), Proparco, Standard Bank, MSMEDA, AfricaGrow, and European family offices such as Alder Tree Investment. Also joining the fund is Michael Seibel, former CEO of Y Combinator, signaling sustained confidence in Africa’s startup landscape from some of the most respected global backers.

Notably, 70 percent of Ventures Platform’s previous investors have returned for this round, reaffirming the firm’s reputation for disciplined portfolio management and consistent returns.

READ ALSO: What Two African Founders Had to Say About Michael Seibel’s Departure from YC

Deepening Roots, Expanding Frontiers

Ventures Platform first launched an institutional fund in 2022 with $46 million, primarily backing pre-seed and seed-stage startups. With the new fund, the firm will also participate in Series A rounds, taking larger ownership stakes and investing with what Aina calls “greater conviction.”

While Nigeria remains a strategic focus, Ventures Platform is extending its reach into Francophone West Africa and North Africa to access promising founders earlier. This expansion reflects a continental vision anchored on proximity, partnerships, and a strong local lens.

Betting on Market-Creating Innovation

Since 2016, Ventures Platform has funded more than 90 startups across fintech, healthtech, agritech, edtech, and AI. Aina describes these as “painkiller” businesses, companies solving for non-consumption and opening entirely new markets.

Among its standout portfolio are Moniepoint, now a Visa-backed unicorn that has deepened financial inclusion across Nigeria, and Paystack, the Stripe-owned pioneer that enabled thousands of small businesses to accept online payments. Other notable investments include LemFi, SeamlessHR, OmniRetail, Raenest, and Remedial Health, each addressing critical infrastructure gaps in their respective sectors.

Weathering the Global VC Slowdown

While African tech funding dropped from $5 billion in 2021 to $2 billion in 2024, Ventures Platform has continued to attract capital from both local and international limited partners. The firm’s disciplined approach has seen it recycle capital from earlier syndicates and deliver four profitable vintages out of six since 2016, ranking among the top performers globally by total value to paid-in (TVPI) and internal rate of return (IRR).

Aina believes this resilience stems from investor understanding of Africa’s long-term potential.

“By 2050, one in four humans will be African. Our GDP growth rate is double that of the U.S., and most of our value is still offline,” he said. “If you are looking for true diversification, Africa remains the purest asymmetric play for long-term alpha.”

The Bigger Picture

Ventures Platform’s latest raise reinforces a simple truth: the next decade of global innovation will not be defined by the abundance of capital but by where it flows. For investors seeking growth, for founders creating new markets, and for governments aligning policy with opportunity, Africa is the future frontier.

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