Atta Africa Financial Update

Executive summary: African tech transformation

Last month DEMO Africa took place in Lagos, Nigeria, with 30 tech start-ups pitching to an audience of investors.. Last year, start-ups listed on the online funding platform VC4Africa raised US$26.9 million, more than double the amount in 2013.

This increase is only an indication of sentiment however, the total of venture capital invested was more likely closer to US$500 million, considering sizeable funding rounds for the e-commerce companies Jumia, Konga and Takealo.

African governments are also doing more. Rwanda has created a special visa for technology entrepreneurs. Kenya has launched Enterprise Kenya, through which the government plans to back tech start-ups itself, and has revised its company acts, including one that has been in place since 1948. The Nigerian government, a strong supporter of DEMO Africa, has launched a publicly funded incubator in Lagos and plans to back start-ups itself.

Smile set on Tanzania 4G expansion

  • Smile Communications has announced the expansion of its 4G LTE mobile broadband network and services in the regions of Mbeya, Mwanza, Moshi, Dodoma and Morogoro
  • The funding was raised to finance the expansion of its Africa 4G networks including the upcoming operations to the Democratic Republic of Congo such that by the end of 2016
  • The funding is one of the largest capital raised ever for a telecommunications operator in Africa and brings the total funding committed to Smile since its founding in 2007 to approximately US$600 million

EIB to back Meridiam‘s Infrastructure Africa fund

  • European Investment Bank is making a €30 million catalyst investment in Meridiam‘s Infrastructure Africa fund
  • The pan-African fund will focus on opportunities in energy, education, transport, water and waste schemes