FMO invests US$10mn in Africa focused VC Fund

FMO, the Dutch entrepreneurial development bank, has committed $10 million to TLcom’s second Africa-focused VC fund, TIDE Africa II, which announced its final close at $154 million on 22 April 2024. In addition to FMO, which is investing through the FMO Ventures Program, other LPs include the European Investment Bank, AfricaGrow, Visa Foundation and Bertelsmann.

With TIDE Africa II, TLcom is doubling down on its commitment of unlocking Africa’s massive technology upside by partnering with elite founders to tackle the continent’s most pressing challenges. The fund is sector-agnostic, with an expanded focus that now includes Egypt and South Africa, alongside TLcom’s core markets of East and West Africa.

TLcom’s portfolio includes 17 startups with its latest investments including Zone, a blockchain-based payments infrastructure company in Nigeria, LittleFish a merchant software company in South Africa, and, ILLA, a trucking platform in Egypt. The growing 15-person team is on the ground in Lagos and Nairobi.

Marieke Roestenberg, manager of the FMO Ventures Program, said: “We are excited to partner with TLcom, one of the most experienced and committed investors in the maturing African venture capital ecosystem. TLcom’s mission to partner with founders to tackle Africa’s biggest and most complex challenges with innovative solutions fits seamlessly with FMO’s Ventures Program ambitions.”

Maurizio Caio, founder and managing partner at TLcom Capital, added: “The final close of TLcom’s TIDE Africa Fund II at $154 million solidifies our position as the largest Seed and Series A-focused VC fund in Africa. With our new fund totalling more than double the size of our first fund closed in 2020, this is not only a massive testament to the confidence and trust we’ve built with our investors but also delivers a major influx of capital during a critical period for the ecosystem’s entrepreneurs."