Just a week after receiving a $30 million commitment from EIB Global, Seedstars Africa has secured an additional $10.5 million from the African Development Bank (AfDB). This double win injects a total of $40.5 million into the continent's startup ecosystem, fueling Seedstars' mission to empower high-growth, innovative businesses.
The AfDB investment, primarily from its ordinary resources and the European Union Boost Africa program, empowers Seedstars to expand its reach and impact across Africa. The Boost Africa initiative, a joint effort by AfDB and EIB, champions impactful and innovative ventures led by young Africans, fostering job creation and economic growth.
"This new investment demonstrates our unwavering commitment to supporting Africa's vibrant startup scene," said Yvan Mbaka, Director of the AfDB's Industrial Development and Finance Department. "Seedstars' focus on early-stage, high-growth companies aligns perfectly with Boost Africa's mission, and we anticipate significant economic impact, including the creation of 9,000 full-time jobs, half of which will be for women."
Seedstars Africa, launched in 2020, has garnered considerable traction with its Seedstars Africa Ventures I fund, already investing over $7 million in 25 sub-Saharan African companies. Their focus on underserved markets and addressing critical challenges resonate with prominent investors, and the combined $40.5 million will fuel their expansion beyond French-speaking countries like Senegal and Côte d'Ivoire to reach Ghana, Uganda, and Tanzania.
"This additional funding is a massive vote of confidence in our mission," said Maxime Bouan, Partner at Seedstars Africa Ventures. "With this capital, we can double down on our support for early-stage entrepreneurs, provide crucial resources for their growth, and attract even more investors to the African startup landscape."
Seedstars Africa's journey exemplifies the burgeoning potential of Africa's startups. With backing from both EIB Global and AfDB, coupled with their own proven track record, Seedstars is poised to play a pivotal role in propelling Africa's entrepreneurial spirit and unlocking the continent's vast economic potential.
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