TLcom Capital is an Africa-focused Venture Capital firm. It has reached a major milestone with the closing of its TIDE Africa Fund II, which closed at $154 Million, making it Africa’s biggest early-stage fund. TLcom Capital’s strategic investments into startups in the logistics and supply-chain management sector are one of its notable achievements.
TLcom Capital has announced that the TIDE Fund II will close its first closing in January 2022. To expand the investment and operation capacity, it has since doubled their headcount, bringing on new investment professionals from Nigeria and Kenya. TLcom Capital has managed over $300 million, invested in 17 startup companies, such as Andela and Ajua.
Kobo 360 is another successful startup backed by TLcom Capital. This e-logistics system connects large companies in Africa to truck drivers and owners. Twiga Foods is also part of its portfolio. This mobile-based platform aggregates retail demand in African cities for packaged and fresh food. It offers lower prices and better quality products.
TIDE Africa Fund II managed by TLcom Capital has been oversubscribed with more than double the first fund’s amount. The fund was oversubscribed by several high-profile new investors as well as returning investors who were part of TLcom’s first Africa focused fund, TIDE Africa Fund I. Fund has drawn a wide range of investors including European Investment Bank, Allianz and DEG Impact joint venture AfricaGrow. Visa Foundation and Bertelsmann have also invested.
Ambroise FAYOLLE, Vice President at the European Investment Bank said in a press release that “Access to capital is still limited across Africa, particularly for startups who are just starting out.” A young population with a high level of technology knowledge is a fertile environment for new companies. The EIB supports Africa’s Startup Ecosystem because it has the ability to foster inclusive social change and drive economic growth. We expect that our investment in TLcom’s TIDE Africa II Fund will build on and enhance the impact and success of the TIDE Africa Fund. This fund provides much needed capital to high growth companies.”
Maurizio Caio expressed in the press release his excitement about the closing of the fund, stating that “TLcom is now among a very small group of venture capital companies who have raised substantial amounts for technology projects in Africa.” It is an indication of the high quality and trust that we have built with our partners. This is also an endorsement of the long-term outlook we have on Africa and its massive upside.
We are continuing the investment strategy we used for TIDE Africa Fund II, where over 80% our investments were made at Seed and Series A. We are thrilled to see that TLcom has a stronger platform to work with Africa’s best entrepreneurs early on in the company building journey. Also, we’re excited to invest more in Egypt with the active funds. TLcom has a long way to go before it can achieve its ambitions of being Africa’s leading early-stage VC firm and a pan-African company,” said Caio.
Our investment in TIDE Africa Fund II shows our commitment to building strong economies, where businesses are able to prosper and produce substantial financial and social returns. “We are impressed with TLcom’s record in supporting entrepreneurs to develop high-growth, business models which can capitalize on Africa’s significant economic potential”, said Najada Kubuli Vice President and Head Investments of Visa Foundation. The firm’s alignment to Visa Foundation’s missions reinforces our belief that our capital, via this partnership, will help shape the future for the continent.
In the official press release, it was also stated that VC firms are increasing their investment in African startups created by women. Gender inclusion and diversity are at the heart of TLcom’s investment strategy, as reflected by its female-dominated partnership and investment panel. TLcom aims at creating a more equitable and inclusive entrepreneurial ecosystem in Africa by investing additional capital.
TLcom’s mission is to create massive value by unlocking the potential of African companies. The firm’s belief in African businesses is demonstrated by its successful exits acquired by private equity and strategic buyers. The company is dedicated to working with innovators in the tech sector across Africa.