Charles Udoh - Afrikan Heroes

Canza Finance Secures $2.3M to Propel Cross-Border Payments for African Startups

January 16, 2024

Canza Finance, a neobank operating within the Web3 framework to facilitate cross-border payments for African startups, has successfully concluded a strategic funding round, securing $2.3 million. The newly acquired funds will be utilized by the company to obtain licenses from various financial regulatory bodies across the African continent, laying the groundwork for its revolutionary FX DeFi platform named Baki. This latest financing brings Canza’s total raised capital to $5.5 million, following a previous seed round that closed at $3.27 million last year. The primary contributors to the current round include Polychain Capital, Protocol Labs, Avalanche’s Blizzard Fund, 99 Capital, Stratified Capital, Hyperithm, among others.

In the context of African markets such as Nigeria, Cameroon, and Senegal, businesses requiring cross-border payment solutions often encounter challenges associated with slow and expensive traditional methods for international transactions. These obstacles impede their ability to secure favorable terms for international payments, engage in stock trading, or earn interest on their funds.

Pascal Ntsama, Co-founder and CEO of Canza, articulates the company’s mission to simplify access to financial services traditionally reserved for larger corporations. Canza collaborates with FX agents in these regions to offer a more efficient and cost-effective channel for sending and receiving money. The transaction process involves businesses submitting a valid invoice and completing the Know Your Customer (KYC) and Know Your Business (KYB) processes. Canza determines the exchange rate for the transaction, aiming to complete it within a 24-hour timeframe.

Canza generates revenue by applying a 1% fee to the processed transactions. The startup envisions reducing transaction fees to 0.2% with the introduction of Baki, its on-chain synthetic FX exchange protocol. This innovative system facilitates the digital exchange of different currencies without the involvement of real money.

Through Baki, Canza leverages stablecoins — digital currencies pegged to the dollar — to assist businesses in converting their currencies to the dollar without incurring substantial forex fees. By embracing stablecoins and decentralized finance tools like Baki, Canza empowers businesses to achieve dollar stability and overcome traditional forex challenges, thereby reducing transaction costs to a mere 1%.

Canza claims to process transactions worth $2,000,000 on a weekly basis and currently serves 150 clients. Oyedeji Oluwoye, Co-founder and CTO of Canza Finance, expressed the startup’s commitment to significantly enhancing infrastructure development in Africa, with a specific focus on expanding infrastructure and obtaining necessary licenses in suitable jurisdictions. He emphasized, “Additionally, we will drive the growth of our DeFi infrastructure products,” highlighting the company’s dedication to advancing decentralized finance solutions in the region.

Looking ahead, Canza aims to secure multiple licenses for virtual asset custodianship, broker-dealer services, and exchange operations in the coming months. Ntsama stated, “We aim to secure a Money Services Business (MSB) license in the United States, obtain a Foreign Exchange (FX) license in Nigeria, and acquire three crucial Virtual Asset Licenses from the Financial Service Commission of Mauritius.” This strategic move aligns with Canza’s broader vision of fostering financial inclusion and innovation across the African continent.

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.

South Africa’s TymeBank Sets a New Standard as Africa’s First Profitable Digital Bank

In a groundbreaking achievement, TymeBank, the world’s rapidly growing digital bank, declared its first month of profitability in December 2023, less than five years since its inception in February 2019. This milestone not only establishes TymeBank as the first digital bank to break even in South Africa but also marks a significant feat for the entire African continent.

Coenraad Jonker, the CEO of TymeBank, expressed pride in the achievement, highlighting the rarity of profitability in the digital banking sector. “Globally, less than half of the top 100 digital banks are profitable, and less than 5% of all neobanks worldwide have reached profitability,” he stated. Most notably, TymeBank achieved this milestone in a remarkably shorter timeframe than its counterparts, such as Latin America’s Nubank and London-based Monzo.

TymeBank, owned by billionaire Patrice Motsepe, has rapidly gained prominence since its launch, attracting more than 8.5 million customers. The bank’s unique model, which combines digital channels with in-store kiosks at major retailers, has been a key factor in consistently acquiring approximately 150,000 customers each month.

Jonker attributed the success to strategic relationships with major retailers such as Pick n Pay, Boxer, The Foschini Group (TFG), and the Zion Christian Church (ZCC). Additionally, TymeBank’s lending portfolio experienced rapid ~30% year-on-year growth, with the Merchant Cash Advance program now supporting over 50,000 SMEs across the country.

The bank’s success is further attributed to the confidence of its shareholders, as evidenced by the Tyme Group’s successful capital raise last year despite economic challenges. TymeBank has continuously innovated, introducing several firsts in the South African banking landscape, including the most affordable banking offering, a swift account opening process, an 11% fixed deposit savings rate, interest-free Grant Advance for social grant recipients, healthcare insurance (TymeHealth), and the buy-now-pay-later product, MoreTyme.

Looking ahead, Jonker expressed excitement about the future, stating, “We believe that we are now perfectly aligned with our goal of becoming one of the top three retail banks in the country.” The bank’s chairperson, Thabani Jali, extended congratulations to the TymeBank team and emphasized the commitment to building a sustainable future.

TymeBank distinguishes itself by offering no monthly banking fees, and in most cases, transaction costs are 30 to 50% lower than those at other banks. Dr. Patrice Motsepe, Founder and Chairman of major shareholder African Rainbow Capital (ARC), acknowledged TymeBank’s achievement after more than four years of dedication and strategic investments, noting its continued disruption and transformation of the banking sector.

The landmark achievement positions TymeBank as a beacon of success and innovation in the digital banking landscape, with a bright future ahead as it aims to appeal to an even broader audience.

TymeBank profitable TymeBank profitable

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.

Fintech Startups in Tunisia Now Need Approval from Central Bank of Tunisia to Partner with Local Banks

The Central Bank of Tunisia (BCT) has issued a note, addressed to banks, the National Post Office, and payment institutions regarding the exercise of the payment facilitator activity. Additionally, the Bank urges financial institutions to take specific measures. They are required to submit, two months before the operationalization of any partnership project with a payment facilitator, a request accompanied by contractual documents and a project description.

In reality, the guiding principles to be respected include governance, financial stability, management of the “Acquirer/payment facilitator” and “payment facilitator/sub-merchant” relationships, risk management, data protection, compliance with anti-terrorism financing and money laundering, reporting to sub-merchants, guarantee mechanisms, security, economic model, claims management, and quarterly reporting to the BCT.

It is essential that the payment facilitator activity does not compromise areas within the banking monopoly. The BCT also recommends that the payment facilitator avoids any ambiguity about the nature of its activity, particularly through advertising campaigns. At the same time, it actively encourages the development of digital payments through partnerships with local Fintechs, aiming to promote financial inclusion for small traders and artisans through innovative and economically accessible technological solutions.

Fintech partner banks Tunisia Fintech partner banks Tunisia

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.

Lendable Supports Sun King’s Expansion Across Africa with $7 Million Debt Investment

January 15, 2024

In a major boost to the efforts of Sun King, the global leader in off-grid solar energy solutions, Lendable has extended a $7 million unsecured loan to support the company’s ambitious expansion plans across Africa. The debt investment, aimed at facilitating the purchase of solar home system inventory, underlines the commitment of both Sun King and Lendable to driving positive change, fostering financial inclusion, and transforming the energy landscape on the African continent.

Sun King, formerly known as Greenlight Planet Inc, has secured the loan from Lendable, a prominent provider of debt to financial technology companies operating in emerging and frontier markets. The strategic partnership is expected to empower Sun King in scaling its business and furthering its mission to provide clean energy solutions to low-income consumers through its innovative pay-as-you-go (PAYG) financing model.

Lendable’s Regional Head for Africa, Sebastian Wichmann, expressed excitement about being part of Sun King’s journey to expand access to clean energy solutions across the continent. “Our investment underscores our commitment to fostering sustainable development and promoting clean energy initiatives that positively impact communities. Sun King’s proven track record and commitment to innovation align seamlessly with our mission, making this partnership a powerful force for change,” stated Wichmann.

This debt investment by Lendable signifies a crucial step towards advancing sustainable solutions, as it directly supports Sun King’s efforts in designing, distributing, and financing solar home systems. Sun King’s Chief Financial Officer, Krishna Swaroop, commented on the partnership, saying, “We are delighted to partner with Lendable in our mission to promote access to energy and financial inclusion and create a sustainable, clean energy future for Africa.”

Swaroop added, “This debt investment will enable us to reach more communities, providing them with access to clean energy. We look forward to building on this partnership with Lendable to drive future growth and amplify our positive impact.”

Sun King, founded in 2007, has become a benchmark for off-grid solar performance and design, reaching over 107 million people in underserved communities to date. The company’s commitment to powering access to brighter lives aligns with Lendable’s mission to create a more equitable and sustainable world through data and finance.

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.

Ivory Coast’s Lapaire Secures $3 Million Investment for Expansive Eyewear Reach Across Africa

January 14, 2024

Pan-African eyewear startup, Lapaire, recently secured a substantial $3 million investment to propel its expansion across the continent. The equity round was spearheaded by Investisseurs & Partenaires (I&P), an impact investment fund, with notable contributions from AAIC, FINCA Ventures, and Beyond Capital. Additionally, CrossBoundary provided advisory support for the deal through USAID’s Africa Trade and Investment activity.

The primary purpose of this infusion of capital is to facilitate Lapaire’s ambitious expansion plans across Africa. The funds will be instrumental in supporting the establishment of new eye care centers, reaching more customers, and further solidifying Lapaire’s presence in the eyewear market. This financial backing is anticipated to contribute to the company’s goal of positively impacting the lives of one million people across the continent by 2026.

Lapaire, founded in 2018 by Swiss national Jérôme Lapaire, operates in six countries, including Côte d’Ivoire, Benin, Togo, Burkina Faso, Mali, and Uganda. The company employs a unique business model, engaging directly with manufacturers and offering affordable eyewear, priced at around $25 per pair. With 58 eye care centers already in operation, Lapaire plans to open an additional 300 centers over the next two years, aiming for 80 new locations by 2024.

Rationale Behind the Investment

Strategic Market Expansion

Investors are attracted to Lapaire’s strategic approach to penetrating the eyewear market in Africa. The continent represents a substantial untapped market for affordable eyewear, with an estimated 35% of the population experiencing vision impairments. Lapaire’s expansion plan aligns with the increasing demand for accessible eye care services, positioning the company as a key player in addressing this widespread issue.

Innovative Business Model

Lapaire’s innovative business model, characterized by direct engagement with manufacturers and exclusive stocking of its own glasses, allows the company to offer eyewear at a significantly lower cost. Investors recognize the scalability and sustainability of this approach, as it not only addresses a critical health need but also does so in a financially viable manner, making eyewear accessible to a broader demographic.

Social Impact and Growth Potential

Beyond financial returns, investors are motivated by the social impact potential of Lapaire. By providing affordable eyewear and free eye tests, Lapaire addresses a pressing healthcare challenge in Africa. This aligns with impact investment principles, where financial success is coupled with positive societal contributions. The company’s demonstrated growth, transition from B2B to direct customer interaction, and commitment to opening more eye care centers underscore its potential for widespread impact.

A Look At Lapaire:

Founded in 2018 by Jérôme Lapaire, a Swiss national who relocated to Kenya in 2015, Lapaire initially launched in Kenya but has since expanded its operations to encompass six countries, as mentioned earlier. The primary markets for Lapaire include Côte d’Ivoire, Benin, Togo, Burkina Faso, Mali, and Uganda.

Lapaire’s business model revolves around providing affordable eyewear by bypassing middlemen and dealing directly with manufacturers. This allows the company to exert control over pricing, ensuring that its glasses are 80% more affordable than alternatives in the market. With 58 eye care centers currently in operation, Lapaire has tested the eyesight of over 300,000 individuals and employs 350 people.

Looking forward, Lapaire aims to open 300 additional eye care centers over the next two years, with a specific target of establishing 80 new locations by 2024. This ambitious growth plan reflects the company’s confidence in its scalable model and its commitment to positively impacting the lives of one million people across the continent by 2026.

Lapaire eyewear

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.

Why Safaricom’s Spark Accelerator is Focusing on Fintech and Content Startups for its First Cohort

In a groundbreaking collaboration, Safaricom, M-PESA Africa, and Sumitomo Corporation, a Fortune 500 global trading and business investment giant, have unveiled the Spark Accelerator program. This initiative is designed to propel early-stage startups into growth and scalability, offering a unique blend of training, mentorship, funding, and market support.

The three-month accelerator program represents a strategic move by Safaricom, signaling its commitment to being a purpose-led technology company. CEO Peter Ndegwa emphasized that the revamped program goes beyond mere capital injection, aiming to address challenges that often hinder the growth of early-stage startups.

Focusing on Fintech and Content startups in its inaugural phase, the Spark Accelerator adopts an ecosystem-based approach. Leveraging expertise in market dynamics and emerging technology, a team of experts will guide and accelerate the selected startups, laying the foundation for continuous innovation.

Sumitomo Corporation, with its extensive business experience, joins the initiative to foster innovative businesses and contribute to the expansion of the startup ecosystem. Katsuya Kashiki, General Manager of the Smart Communications Platform Business Division, expressed the corporation’s commitment to supporting African economic development and human resource growth through the program.

Participating startups stand to benefit significantly, gaining access to technical support for developing mini-apps embedded into Safaricom’s M-PESA Super App. This opportunity opens doors to over 4 million customers using the app, as M-PESA already connects over 60 million customers and 5 million businesses across eight countries.

Sitoyo Lopokoiyit, Managing Director of M-PESA Africa, highlighted the potential for startups to create innovations that connect customers and businesses on M-PESA to more opportunities. The accelerator program aims to provide funding, technical expertise, resources, and mentorship to propel the next generation of tech startups in Africa.

Moreover, M-PESA Africa will offer expertise, market research, and insights, along with capacity support for startups seeking to expand beyond their borders. This support will extend beyond the initial three-month program, enabling startups to tap into the vast network of over 60 million customers and 5 million businesses across M-PESA’s eight markets.

The culmination of the accelerator program will be an investor demo day, providing startups with the opportunity to pitch for investment from Safaricom and partner venture capital firms. The implementation of the Spark Accelerator will be in collaboration with iHUB, a leading force in Kenya’s startup ecosystem and a subsidiary of Africa’s premier innovation hub, Co-Creation Hub (CcHUB).

Ojoma Ochai, Managing Director of CcHUB, expressed excitement about spearheading this collaborative effort. The Spark Accelerator, she noted, serves as a launchpad for forward-thinking founders to shape and scale their enterprises. Ochai encouraged startups with dynamic and impactful solutions to join the journey, emphasizing the collective effort to catalyze innovation and empower digital ecosystems.

The program has garnered support from additional partners, including Vodacom and AWS, further solidifying its potential to drive meaningful impact in the African tech startup landscape.

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.

What Does 2024 Hold in Store for African Startups? Here are Our Predictions

January 12, 2024

As the African startup ecosystem readies itself for the uncertainties of 2024, a turbulent year seems to be on the horizon. The past year has seen pivotal events that have cast shadows over the potential prosperity of emerging businesses. In this article, we delve into our predictions for African startups in the coming year and explore strategies to navigate the challenges ahead.

Low Funding for Startups: A Tough Financial Terrain

The recent closure of 54gene, a genomics research company that once stood as a beacon of African innovation, serves as a stark reminder of the financial pitfalls awaiting African startups in 2024. Despite securing an impressive $45 million in funding, 54gene succumbed to financial challenges, signaling a potential trend for 2024. Investors may adopt a more cautious approach, leading to a decline in funding opportunities for startups across the continent. Hence, our prediction foresees a decrease in funding activities compared to the levels observed in previous years..

The implications of reduced funding are far-reaching. Startups, often reliant on external investments to fuel growth and development, will need to reassess their financial strategies. In a landscape where securing funds becomes a formidable task, alternative financing models, such as strategic partnerships and crowdfunding, may gain prominence. Additionally, startups must focus on building sustainable revenue streams to weather the storm of financial uncertainty.

High Startup Shutdowns

The shutdowns of startups such as Zazuu, Pivo, 54Gene are not isolated incidents; they are part of a growing trend that may escalate in 2024. Dash, a Ghanaian fintech startup, raised an impressive $86 million only to crumble a year later due to mismanagement, misappropriation of funds, and falsification of data. This emphasizes the critical role of robust governance and financial management in ensuring the survival of startups.

In the face of heightened scrutiny and a potential increase in startup closures, African startups must prioritize transparent financial practices and effective governance structures in 2024 if they are to survive the Hurricane that is coming. Implementing stringent internal controls, regular audits, and fostering a culture of accountability will be crucial in gaining and maintaining investor trust. Startup leaders must learn from the mistakes of their counterparts and establish resilient frameworks that withstand the challenges of the business landscape.

Generally, a Difficult Startup Year

With the specters of startup shutdowns and Dash’s deceptive downfall looming, 2024 is anticipated to be a generally challenging year for African startups. The key to survival lies in cultivating resilient business models, implementing effective management practices, and devising sustainable growth strategies.

Startups must prioritize innovation and adaptability, recognizing that agility is essential in navigating unpredictable market conditions. Strategic planning becomes paramount as businesses confront challenges on multiple fronts. Diversification of revenue streams, expansion into new markets, and embracing emerging technologies will be instrumental in building a foundation for long-term success.

While the predictions for African startups in 2024 may seem daunting, they also present opportunities for growth and resilience. By learning from past failures, embracing financial prudence, and fostering innovation, startups can navigate the difficulties ahead and emerge stronger on the other side. The road ahead may be challenging, but with strategic foresight and determination, African startups can overcome adversity and contribute to the continent’s vibrant entrepreneurial ecosystem.

Summing It Up: Our Key Suggestions

Diversify Funding Sources:

Given the potential decrease in traditional funding avenues, startups should explore diverse sources of capital. This could include strategic partnerships, angel investors, venture debt, or crowdfunding. A mix of funding channels can provide a financial cushion and reduce dependence on a single source.

Emphasize Financial Prudence

In the face of a tough financial landscape, startups must prioritize sound financial management. This includes regular financial audits, transparent reporting, and a focus on cost control. By demonstrating fiscal responsibility, startups can instill confidence in investors and stakeholders, even in uncertain times.

Build Resilient Business Models

Startups should revisit and strengthen their business models to withstand market fluctuations. This may involve diversifying product or service offerings, identifying new revenue streams, or adapting to changing consumer behaviors. Resilient business models can weather economic challenges and sustain growth.

Enhance Governance and Accountability

Learning from the closures of prominent startups in recent times, it is imperative for businesses to prioritize governance and accountability. Establishing robust internal controls, ethical practices, and transparent reporting structures can instill trust and mitigate the risks associated with mismanagement.

Seek Operational Efficiency

Streamlining operations and optimizing efficiency can help startups navigate cost challenges. Assessing and refining internal processes, identifying areas for automation, and eliminating redundancies can contribute to improved operational efficiency, ensuring resources are used judiciously.

Establishing Collaborative Alliances, Mergers, or Acquisitions

Aligning with established companies or fellow startups can yield reciprocal advantages, including shared resources, broader market outreach, and enhanced credibility. Forming strategic partnerships becomes a stabilizing force for startups, offering crucial support during challenging periods.

Adapt to Market Trends

Keep a close eye on market trends and adapt quickly. Consumer behaviors and industry landscapes can shift rapidly, and startups need to be agile in responding to these changes. Staying ahead of the curve can present new opportunities and help mitigate potential risks.

Focus on Customer Retention

Acquiring new customers can be challenging in a difficult year, making customer retention even more crucial. Prioritize customer satisfaction, gather feedback, and tailor products or services to meet evolving customer needs. Loyal customers can serve as a stable foundation during uncertain times.

Cultivate a Positive Company Culture

A positive and supportive company culture can foster resilience among the team. Encourage open communication, provide support for employees, and maintain a shared vision. A motivated and unified team is better equipped to face challenges head-on.

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.

BII Backs Apis Growth Markets Fund III with $40 Million Boost for African FinTech

British International Investment (BII), a leading UK development finance institution and impact investor, has reaffirmed its dedication to supporting fintech entrepreneurship by committing $40 million to the Apis Growth Markets Fund III (“Apis III”). Apis Partners LLP, a UK-based private equity firm with a focus on high-growth, tech-enabled financial services businesses, manages the fund.

This marks the third instance of BII supporting an Apis fund. The collaboration between BII and Apis dates back to 2015 when BII kickstarted Apis’ first fund with a $30 million commitment. This support continued in 2019 with a $50 million contribution to Apis’ second fund.

Apis specializes in investments within the digital financial services sector, with a particular emphasis on payment and credit services. Recognizing the crucial role digital infrastructure plays in fueling economic growth in emerging economies, BII strategically aligns its investments with this vision.

Dalia Aga-Shaw, Director and Head of Financial Services Funds at BII, expressed confidence in Apis’ ability to make a positive impact on the fintech sector. She emphasized that the new fund would provide essential capital to both emerging entrepreneurs and established businesses, fostering growth in low-income households and creating broader economic opportunities.

The collaboration also aligns with Sustainable Development Goal 8.10, aiming to enhance economic opportunities for consumers and businesses by improving their ability to manage liquidity, investment, and risk.

BII’s commitment to Apis III is crucial in helping Apis achieve its target fund size, especially in the current environment where there is reduced interest from commercial investors in emerging market fintech businesses.

BII’s role as a key advisor to Apis extends beyond financial backing, encompassing the development of Environmental, Social, and Governance (ESG) standards at the fund manager. BII has played a pivotal role in fortifying Apis’ impact management capabilities, further solidifying the partnership’s commitment to responsible and impactful investments.

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.

Axian Group Invests in Egyptian Startup Bosta to Fuel Expansion in Delivery Optimization Technology

Axian Group, a leading investment firm, has recently announced its strategic investment in Bosta, the pioneering Egyptian startup revolutionizing the delivery processing and logistics landscape in Egypt and Saudi Arabia. Leveraging cutting-edge technology, Bosta’s platform optimizes first, middle, and last-mile delivery, providing unmatched efficiency and convenience to its users.

Founded in 2017 by Mohamed Ezzat and Ahmed Gaber, Bosta has become a cornerstone in the delivery services sector, catering to the needs of thousands of online businesses in Egypt. The startup’s innovative approach ensures a seamless distribution process, offering a guaranteed next-day delivery service across the globe. To date, Bosta has successfully delivered over 10 million shipments, solidifying its position as a leader in the industry.

Bosta’s unique delivery model relies on a network of independent drivers who are compensated for each successful delivery, effectively handling the first and last mile. The middle mile, for inter-city couriers, is managed through a fleet of leased vans.

Following a successful pre-Series B fundraising round, Bosta expanded its operations to Saudi Arabia in 2022. This significant milestone was achieved through a strategic investment round led by Khwarizmi Ventures, with participation from existing investors and Hassan Allam Holding.

Axian Group’s investment signifies a strong commitment to supporting Bosta’s growth and advancing its mission to redefine the delivery and logistics landscape in the region. As Bosta continues to pioneer advancements in technology and delivery services, this collaboration marks a significant step toward transforming the e-commerce and logistics sectors in Egypt and Saudi Arabia.

Update: Avanz Capital, and Beltone Holding are other investors aside Axian Group in the latest funding round in Bosta. Bosta stands out as the market leader in Egypt, serving more than 25,000 businesses since its inception.

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.

Tanzanian Health-Tech Dawa Mkononi Secures Major Funding to Expand Healthcare Access

Dawa Mkononi, a pioneering Business-to-Business (B2B) pharmaceutical company, is thrilled to announce a significant milestone in its mission to enhance healthcare accessibility across the East African region. The company has successfully secured substantial funding from a consortium of esteemed investors, including Sanofi Global Health Unit Impact Fund, Pontem Ventures, Warioba Ventures, Villgro Africa, Axian Group, and other local venture capitalists.

This funding represents a crucial step forward for Dawa Mkononi, marking not only a financial boost but a resounding vote of confidence in the company’s vision and commitment to improving healthcare access. The investors’ guidance and partnership have played a pivotal role in the company’s growth and success.

“We extend our heartfelt gratitude to our investors, including Sanofi Global Health Unit Impact Fund, Pontem Ventures, Warioba Ventures, Villgro Africa, Axian Group, and other local VCs. Their unwavering support and belief in our mission have been instrumental in bringing us to this point,” said Joseph Paul, Co-founder/CEO at Dawa Mkononi.

Dawa Mkononi, which translates to “Medicine at your Palms,” leverages technology to advance universal health coverage by making pharmaceuticals readily available to pharmacies, hospitals, clinics, and drug shops in Tanzania. The company focuses on innovations around the pharmaceutical supply chain, addressing challenges faced by the medical supplies industry, such as delays in accessing stock, price fluctuations, and counterfeit supplies.

According to Christina Mark, Customer Service Head at Dawa Mkononi, the company’s operations primarily target pharmacies, health facilities, and other registered B2B clients. The company employs a data-driven approach to improve access to medicine distribution and make medicines more available and affordable.

“Dawa Mkononi provides an easy platform for medical shops to conveniently purchase medicine and medical equipment. Our mobile application, available on both IOS and Google Play, allows customers to access a variety of medicines and medical equipment. With embedded FinTech-driven payment options, customers can pay directly, making the process faster, safer, and more convenient,” explained Christina Mark.

The company’s commitment to addressing critical issues in the healthcare sector, such as delays, price stability, and counterfeit products, has gained significant traction. Currently operating in Dar es Salaam and Mwanza, Dawa Mkononi has already attracted over 1,000 active healthcare businesses purchasing from its platform in Dar es Salaam alone.

The funds raised will propel Dawa Mkononi towards expanding its reach to more locations, unlocking access to medicines in the most remote African communities. The company is steadfast in its mission to make a substantial, positive impact on healthcare accessibility and distribution.

Founded in 2020, Dawa Mkononi is a leading Business-to-Business (B2B) pharmaceutical company in Tanzania, utilizing technology to advance universal health coverage. The company focuses on innovations around the pharmaceutical supply chain, aiming to improve access to medicine distribution and make medicines more available and affordable.

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.