Lagos-based enterprise capital agency Ventures Platform has introduced a $64 million first shut for its second fund, with a goal of $75 million. The fund, dubbed “VP Pan-African fund II,” alerts a major transfer by the agency to double down on African tech, increasing from its early-stage roots to guide bigger, extra advanced funding rounds.
The brand new fund noticed a robust vote of confidence: 70 p.c of the restricted companions (LPs), or buyers, from its first fund have returned.
The agency additionally attracted a slate of main institutional backers. A key participant is the Nigeria Funding in Digital and Inventive Enterprises (iDICE) program, a government-backed initiative aimed toward boosting Nigeria’s tech and inventive sectors. The Financial institution of Trade, which implements the iDICE program, referred to as the funding a part of the “Federal Authorities’s goal of upscaling the Nigerian expertise and inventive sectors.”
Different heavyweight backers embrace the Worldwide Finance Company (IFC) from the World Financial institution Group, Normal Financial institution, British Worldwide Funding (BII), and Proparco. The fund additionally attracted funding from European household places of work and outstanding people, together with former Y Combinator CEO Michael Seibel.
A New Technique: From Seed to Collection A
With this new capital, Ventures Platform is shifting its technique. Whereas it constructed its fame on pre-seed and seed-stage offers, the agency now plans to guide Collection A rounds. The agency says this can “de-risk high-potential ventures” – primarily, serving to its most promising firms bridge the tough funding hole between their preliminary begin and changing into a high-growth firm.
Alongside main bigger rounds, the VC is increasing its geographic footprint. Whereas Nigeria stays its core, Ventures Platform will consolidate its actions in Francophone Africa and speed up growth into North Africa.
Fixing for “Non-Consumption”
The agency’s funding thesis facilities on what it calls “painkiller” options. This isn’t about funding the subsequent “nice-to-have” app; it’s about backing firms that clear up basic, power issues for companies and customers.
Ventures Platform is particularly focusing on what it calls “non-consumption.” This can be a time period for a market the place massive numbers of persons are neglected of a service – not as a result of they don’t need it, however as a result of nobody has constructed an accessible or reasonably priced approach for them to make use of it. The agency might be in search of startups plugging these infrastructural gaps in sectors like:
FintechHealthtechAgritechEdtechAI
“We imagine Africa’s challenges are its best alternatives,” mentioned Founding Companion Kola Aina in a press release, including that the agency is concentrated on “innovators that may clear up power non-consumption throughout the continent.”
A Monitor Document of Choosing Winners
Ventures Platform has been working since 2016 and has backed over 90 startups. Its portfolio consists of a number of the continent’s most high-profile successes, together with the fintech unicorn Moniepoint, funds firm Paystack (acquired by Stripe), and financial savings platform Piggyvest.
The agency’s skill to select winners is a core a part of its pitch. A number of of its portfolio firms, together with OmniRetail, Thrive Agric, and Moniepoint, had been all acknowledged on the Monetary Occasions’ 2024 checklist of Africa’s 25 fastest-growing firms. Remedial Well being was additionally named to Time’s 2025 checklist of the World’s Prime Well being Corporations.
Backers from the IFC, Normal Financial institution, and Proparco all issued statements supporting the transfer, highlighting the necessity to channel capital into Africa’s tech ecosystem to resolve challenges in these core sectors.
“Rising markets are dwelling to a brand new era of founders constructing sensible, scalable options to urgent improvement challenges,” mentioned Farid Fezoua, IFC International Director for Disruptive Applied sciences. “[This] will assist early-stage startups transfer from proof-of-concept to progress.”
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