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Ejike Kanife
Guest
African startups raised a total of $254 million in the month of October 2024. This was disclosed in a new report by African tech startup analytics company, Africa; the Big Deal. According to the report, the impressive fundraise makes October the second-best performing month of the year after July. It also makes October 2024 the best October on record since 2019.
The $254 million raised in October is a significant improvement from the $138 million raised in September. This represents a startup funding growth of 84 per cent between the two months and marks a continuation of an impressive funding run in the startup space. It also represents a 353.5 per cent increase from the $56 million raised in August 2024.
However, the October total is dwarfed by the $443 million raised in July which is so far the best-performing month of 2024 representing a 42.6 per cent shortfall. Despite that, the October raise is still impressive enough to be almost 50 per cent more than the previous 12-month average.
42 African startups that raised $100,000 or more during the month were mainly responsible for the total raised. These investments include equity deals, debts and grants but do not include exits.
[IMG alt="African startups raised $254m in October 2024 led by Moniepoint's unicorn-making raise
"]https://technext24.com/wp-content/uploads/2023/01/Africas-venture-funding.png[/IMG]
African startups have raised a total of $1.7 billion in 2024 so far. While this is impressive, it is however a 32 per cent year-over-year decline when compared to the same period in 2023. Indeed, this total was announced five months earlier in 2023, which is by June 2023.
Nigerian financial technology company, Moniepoint was the star company during the month with its impressive $110 million Series C raise. The raise was led by Development Partners International’s African Development Partners (ADP) III fund. The round which was supported by preexisting investors like QED Investors, Novastar Ventures, Global Ventures, and Endeavour Catalyst also welcomed new investors like Google and Verod Capital.
The raise which saw the fintech become a unicorn with a billion-dollar valuation, also represents 43 per cent of the total $254 million raised by startups on the continent. This is coming at a time when African startups, especially African fintech companies have been found lagging on the continental funding stage.
Indeed, between January and September 2024, Nigerian startups were only able to attract $218 million. This represented a 15 per cent share of the total $1.463 million venture funding that had been raised on the continent as of then. While this represents a very small improvement from the 14 per cent share the market attracted in 2023, it, however, remains a far cry from the average of 35 per cent the country used to enjoy in the years prior (2019 to 2022).
In comparison, Kenya attracted $437 million of the $1.463 billion, representing 31 per cent share. Egypt raised $373 million representing an impressive 27 per cent of the total tech startup funding into the continent in nine months of 2024.
Overall, 60% of the funding in October went to start-ups in Nigeria.
Speaking of the other two largest rounds recorded in October, Kenyan e-mobility company, BasiGo raised a total of $42.5 million in a Series A equity and debt funding round. The round was led by Africa50 and supported by Novastar Ventures, CFAO Kenya, Mobility54, the U.S. Development Finance Corporation (DFC) and the British International Investment (BII).
Cryptocurrency exchange and payment platform, Yellow Card also raised $33 million in a Series C funding round led by Blockchain Capital and supported by Polychain Capital, Third Prime Ventures, Castle Island Ventures, Block Inc., Galaxy Ventures, Blockchain Coinvestors, Hutt Capital and Winklevoss Capital.
So far in 2024, 393 African startups have already raised $100,000 or more, representing a 10 per cent decline from the same time last year. 137 of these startups have announced $1 million or more in funding, representing a 20 per cent decline from this time in 2023.
60 per cent of the total funding attracted in October 2024 went to fintech companies. 98 per cent of the total was invested in start-ups with a male CEO and 97 per cent in startups without any female founder. Only one exit was also announced last month as OmniRetail acquired Traction Apps in Nigeria.
See also: 61 African startups raised $138m funding in September, up from $56m in August
The post African startups raised $254m in October 2024 led by Moniepoint’s unicorn-making raise first appeared on Technext.
The $254 million raised in October is a significant improvement from the $138 million raised in September. This represents a startup funding growth of 84 per cent between the two months and marks a continuation of an impressive funding run in the startup space. It also represents a 353.5 per cent increase from the $56 million raised in August 2024.
However, the October total is dwarfed by the $443 million raised in July which is so far the best-performing month of 2024 representing a 42.6 per cent shortfall. Despite that, the October raise is still impressive enough to be almost 50 per cent more than the previous 12-month average.
42 African startups that raised $100,000 or more during the month were mainly responsible for the total raised. These investments include equity deals, debts and grants but do not include exits.
[IMG alt="African startups raised $254m in October 2024 led by Moniepoint's unicorn-making raise
"]https://technext24.com/wp-content/uploads/2023/01/Africas-venture-funding.png[/IMG]
African startups have raised a total of $1.7 billion in 2024 so far. While this is impressive, it is however a 32 per cent year-over-year decline when compared to the same period in 2023. Indeed, this total was announced five months earlier in 2023, which is by June 2023.
Nigeria’s Moniepoint leads African startups in October
Nigerian financial technology company, Moniepoint was the star company during the month with its impressive $110 million Series C raise. The raise was led by Development Partners International’s African Development Partners (ADP) III fund. The round which was supported by preexisting investors like QED Investors, Novastar Ventures, Global Ventures, and Endeavour Catalyst also welcomed new investors like Google and Verod Capital.
The raise which saw the fintech become a unicorn with a billion-dollar valuation, also represents 43 per cent of the total $254 million raised by startups on the continent. This is coming at a time when African startups, especially African fintech companies have been found lagging on the continental funding stage.
Indeed, between January and September 2024, Nigerian startups were only able to attract $218 million. This represented a 15 per cent share of the total $1.463 million venture funding that had been raised on the continent as of then. While this represents a very small improvement from the 14 per cent share the market attracted in 2023, it, however, remains a far cry from the average of 35 per cent the country used to enjoy in the years prior (2019 to 2022).
In comparison, Kenya attracted $437 million of the $1.463 billion, representing 31 per cent share. Egypt raised $373 million representing an impressive 27 per cent of the total tech startup funding into the continent in nine months of 2024.
Overall, 60% of the funding in October went to start-ups in Nigeria.
Speaking of the other two largest rounds recorded in October, Kenyan e-mobility company, BasiGo raised a total of $42.5 million in a Series A equity and debt funding round. The round was led by Africa50 and supported by Novastar Ventures, CFAO Kenya, Mobility54, the U.S. Development Finance Corporation (DFC) and the British International Investment (BII).
Cryptocurrency exchange and payment platform, Yellow Card also raised $33 million in a Series C funding round led by Blockchain Capital and supported by Polychain Capital, Third Prime Ventures, Castle Island Ventures, Block Inc., Galaxy Ventures, Blockchain Coinvestors, Hutt Capital and Winklevoss Capital.
So far in 2024, 393 African startups have already raised $100,000 or more, representing a 10 per cent decline from the same time last year. 137 of these startups have announced $1 million or more in funding, representing a 20 per cent decline from this time in 2023.
60 per cent of the total funding attracted in October 2024 went to fintech companies. 98 per cent of the total was invested in start-ups with a male CEO and 97 per cent in startups without any female founder. Only one exit was also announced last month as OmniRetail acquired Traction Apps in Nigeria.
See also: 61 African startups raised $138m funding in September, up from $56m in August
The post African startups raised $254m in October 2024 led by Moniepoint’s unicorn-making raise first appeared on Technext.