A $75 million SDG-focused venture capital fund called Modus Africa has been announced by Modus, a venture platform operating in the MENA region that includes VC funds, Venture Builders, and a Corporate Innovation arm. Modus Africa will invest in Africa’s most innovative startups using AI and Blockchain technologies. Two General Partners who have extensive experience in the African startup ecosystem, Vianney Mathonnet and Andre Jr. Ayotte, are in charge of the fund.
Here Is What You Need To Know
- The early-stage impact-driven ventures and local tech talent on the continent will be supported in their growth and development by Modus Africa. With a follow-on investment allocation and 45 investments in startups at the Seed+ stage, the new fund, which will close in Q1 2023, will encourage foreign investment in the continent.
- Africa, which has one of the highest rates of blockchain adoption globally, has the potential to add 200+ million new blockchain users over the course of the next four years, driven by demand and a rapidly expanding tech-savvy population. Startups utilising AI and Blockchain technologies, according to Modus, will not only hasten the African Fourth Industrial Revolution but will also produce significant financial gains and have a significant impact on sustainable development.
Kareem Elsirafy, Managing Partner at Modus commented, “Modus is proud to be launching an Africa-MENA investment corridor to continue supporting and investing in emerging innovation ecosystems. The Modus platform is uniquely positioned to deliver impact and value to African communities through operational, institutional, and financial capital. We’re excited to have Vianney and Andre leading the way on this journey.”
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Andre and Vianney have been involved in the startup scene for more than six years. They joined up with Modus to advance disadvantaged communities in emerging regions by creating innovation ecosystems.
Andre Jr. Ayotte, Partner at Modus Africa said, “We’re thrilled to be joining Modus to focus on investing in African companies who have an incredible opportunity to bet on the 4th Industrial Revolution. AI could add another $1.5T by 2030 to the African economy, with about 50% of Africa’s GDP and blockchain already demonstrating its capacity to increase financial inclusion while lowering the overall cost of doing business in Africa.”
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The Modus Africa GPs have already built strong relationships with top Web3 organizations, businesses, and governments who all share the same goal of resolving pressing issues on the continent.
Modus has rapidly grown over the past 18 months, opening branches in Abu Dhabi, Cairo, and most recently Riyadh. This expansion has been made possible by champion backers like Mubadala’s Hub71, USAID, and a number of other top organizations.
How The Fund Will Invest
Despite being sector-neutral, the fund will primarily invest in early-stage startups because these are the ones with the fastest growth in AI and Blockchain applications.
When traditional Web2 companies and Web3 technologies are combined, startups that are leapfrogging ahead can advance thanks to Modus Africa’s sourcing, investment, and support.
The expansion into Africa gives Modus portfolio companies another route to the market while also allowing African startups to grow into the MENA region.
Modus Fund African startups Modus Fund African startups
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert.
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard. You can book a session and speak with him using the link: https://insightsbyexperts.com/view_expert/charles-rapulu-udoh