Firm to Invest $1.4M in 12 African Startups

A tech company, Techstars Accelerator, has announced plans to invest a total of $1.4 million in 12 African startups as it unveiled 12 companies to participate in the second cohort of its pan-African accelerator programme in partnership with Lagos-based innovation programme, ARM Labs. According to a statement from the company, the 14-week immersive programme will see Techstars invest up to $120,000 in funding in each startup as well as provide them with access to over $400,000 in cash equivalent hosting, accounting and legal support and other benefits worth more than $5 million.

The selected startups will also receive tailored mentor- ship, world-class company- building support, lifetime access to the Techstars world- wide network, and targeted interactions with prospective investors to ensure that the continuum of follow-up capital is available as they grow. By partnering with ARM Labs, founders are also exposed to ARM’s local network, research and insights, and decades-long financial advisory expertise.

While noting that the Accelerator program will build upon its commitment to helping entrepreneurs who are changing Africa and the world, Techstars said: “The 2023 cohort, selected from over a thousand applications, delivers tech-enabled solutions across various verticals in Sub-Saharan Africa. The sourcing and selection were led by the Managing Director for the accelerator, Oyin Solebo.

“It culminated in a screening committee joined by fellow directors at Techstars, executive leaders at ARM – Jumoke Ogundare, Sadiq Mohammed, Wale Odutola, Uche Azubuike and Ina Alogwu; as well as selected invited seasoned investors – Nneka Eze of Vested World, Maya Horgan Famodu of Ingressive Capital, Olumide Soyombo of Voltron Capital and Dotun Olowoporuku of Ventures Platform.”

For its first cohort, the program had initially focused on companies operating in Fintech and PropTech, but this year expanded to focus more broadly on entrepreneurs who are changing Africa and the world, by using technology, data, and intelligence to serve a population growing in size, youth, income, and digital access. Sectors invested in include FinTech, Logistics, E-commerce, HealthTech, Renewable Energy, and Future of Work. The cohort comprises start- ups operating in Ghana, Nigeria, and East Africa, and has four teams with at least one female co-founder.