All eyes on Africa
7 out of 10 investors involved in $100k+ deals in Africa in 2021 so far are HQ'ed outside the continent
A few weeks ago, we looked at investors who had done at least 10 deals in Africa: Launch Africa (Mauritius), Kepple Ventures Africa (Japan), Y Combinator (US) and Flat6Labs (Egypt). They have since been joined by Norrsken (Sweden), and we thought we’d look at where investors in Africa come from:
Of the 369 investors who have been involved in at least one $100k+ deal in Africa this year, 110 (30%) are headquartered on the continent. They tend to be quite active: 40% have been involved in more than one deal in the past 6 months. The 'Big Four’ are home to 84% of active ‘local’ investors, with South Africa (30) leading the way, followed by Nigeria (28) and Egypt (23); Kenya is quite further behind, with 11 active investors so far this year, none of which are in the Top20 in terms of number of deals.
The US is home to more investors involved in a deal in Africa than Africa itself: 133. US-based investors are however significantly less active than Africa-based investors: 87% of them have so far only participated in one deal.
In Europe, the UK and France combined (with 20 each) make up more than half of investors active in Africa this year; the remaining 39 investors originate from quite a diverse group of countries, 12 in total.
Japan (9) is by far the country with the most active investors from Asia-Pacific (23 in total); the absence of almost any recorded activity from China-based investors is worth noting. Finally, of the 21 active investors based in the Middle East, the majority are from either the UAE (8) or Saudi Arabia (7).