Growth fund Norrsken22 raises $200m to spur growth in African tech
A tech fund backed by 30 ‘unicorn’ founders has today closed a $200m raise to seek out and spur growth in Africa’s future tech giants.
The Norrsken Foundation, founded by Klarna co-founder Niklas Adalberth, has teamed up with investment teams across Africa including Actis in South Africa and Acuity Venture Partners in Nigeria who will lead the fund’s investment strategy.
The fund has also received backing from 30 founders of unicorns – firms worth more than $1bn – who have committed $65m capital and will work with tech firms in Africa to drive growth and scale up.
Adalberth said today that Africa’s young population made it a prime location for fast growth tech.
“Africa has a population of 1.2billion, where 60% are below 25 years old,” he said. “In the next decade, this young, digital-first generation will change not only the future of Africa but of the world.”
“Eyes are turning towards Africa as the next epicentre for digital disruption. Technology is enabling emerging enterprises to leapfrog legacy ways of doing business.
But he warned that that lack of capital to date has hindered growth across the sector.
The new fund is looking to specifically tap into firms across fintech, edtech and medtech with a focus on “delivering top quartile returns” and a “strong, positive impact across Africa”. The investment teams behind the new fund have previously backed firms including payments fintech Flutterwave.
The fund also has senior backing from an advisory council of business leaders across the continent including Nonkululeko Nyembezi, Chairman Johannesburg Stock Exchange (JSE) and Arnold Ekpe, ex-Group Chief Executive, Ecobank.