A new venture capital fund focused on Southern Africa's technology sector has completed a US$6.7 million first close as it begins investing in startups across the region. The Botswana Tech Fund (BTF) plans to raise a total of US$64 million to support companies from the pre-seed stage through growth.
The fund was launched in April to finance technology businesses operating across the Southern African Development Community (SADC). Its investment strategy is built around Botswana's macroeconomic stability, governance framework and internet penetration as a base for backing companies with regional growth ambitions.
Launch Africa Ventures, a venture capital investment platform, will serve as investment adviser during the fund's first phase, while Pula Investments is participating as the anchor investor. The initiative is structured as a partnership between venture capital operators and family office investors.
The US$6.7 million first close represents the initial step toward the fund's long-term goal of raising US$64 million. If that target is reached, BTF would become a source of early-stage and growth capital for technology companies across the region.
“Now the work begins. There is a significant opportunity to help close the digital gap between our target markets and more established technology ecosystems such as South Africa, Nigeria and Kenya,” the fund said.
“We look forward to backing ambitious founders who are building solutions capable of driving that change.”
