Constant Ventures, a division of Constant Group, is establishing a $100 million venture capital fund focused on economic growth, healthcare, and education.
The fund’s original investee organizations will be in Nigeria and Ghana, with plans to grow throughout West Africa.
Recent advances in digital technologies provide a number of opportunities to both build and scale solutions to various difficulties faced by millions of Africans, including the coalescence of segmented value chains, the formalization of key segments of the continent’s economy, and the provision of much-needed access to capital for consumers and businesses.
Constant Ventures has a distinctive structure that enables it to make investments in talented innovators and convincing startups across West Africa, and via its proprietary venture studio, that also acts as a catalyst for bringing together best-in-class ideas, entrepreneurs, and capital to quickly build winning startups.
Constant Ventures launched the fund as a result of its stellar track record as an angel investor and renowned technology firm developer.
It has invested approximately 3.2 million in 9 Nigerian businesses so far, yielding a 5.6x return on investment that is expected to rise to 15x after the next fundraising round.
“We are really delighted to be introducing this fund,” says Ike Echeruo, chairman of the Constant Group and co-founder and founding partner of Constant Ventures.
It’s been a decade in the building, the result of extensive research and due diligence in preparation for the day when breakthroughs in IT would allow start-ups throughout West Africa to economically address actual societal needs.
Technology was always going to be the answer to a lot of the problems that millions of individuals in Africa are dealing with today.
With recent developments in information technology, we are on the verge of a paradigm shift, giving a once-in-a-lifetime investing opportunity. We’ve looked at what’s worked in other parts of the world.
We’ve now designed a fund to invest in firms that will both enhance the lives of millions of people and generate great returns for investors, streamlined and optimized for Africa.”
Don’t miss important articles during the week. Subscribe to techbuild.africa weekly digest for updates.