French VC Breega Launch $75M Africa-Focused Fund – urbangeekz

French VC firm Breega has launched a $75m (£59m) fund to invest in early-stage startups in Africa.

The London, Paris, and Barcelona-based investment firm will expand its reach by opening two new offices in Nigeria and Cape Town.

This is Breega’s first fund in Africa since closing its first fund in 2015, giving the VC firm a footprint in both Europe and Africa. Named “Breega Africa Seed I,” the fund received backing from institutions including Bpifrance and the Dutch entrepreneurial development bank, FMO.

The “Breega Africa Seed I” will support early-stage startups in Nigeria, Egypt, South Africa, Kenya, Morocco, Senegal, Ivory Coast, Cameroon, and the Democratic Republic of Congo.

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The new fund will be led by entrepreneur and angel investor Melvyn Lubega, who co-founded African digital education unicorn Go1, and Tosin Faniro-Dada, the former CEO of Endeavor in Nigeria and former founding executive of startup incubator Lagos Innovates.

“Startup ecosystems work like pyramids: they are only sustainable if the base, i.e. the early stage, is well financed,” said Ben Marrel, CEO and co-founder of Breega. “It is with this impact-driven mindset that Breega is positioning itself as the first investor to back and support entrepreneurs from idea to impact.”

Breega’s investment strategy is to allocate between $100,000 and $2 million to startups across the Big Four African markets—Nigeria, Egypt, South Africa, and Kenya—as well as Francophone African markets, including Morocco, Senegal, Ivory Coast, Cameroon, and the DRC, ensuring a diverse and inclusive portfolio that reflects the rich entrepreneurial landscape of Africa. 

The Africa-focused VC firm has already backed nine startups, including Numida, Hohm Energy, Socium, Klasha, Kwara, Coachbit, and Sava. It aims to make at least 40 investments from this first fund.

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“Breega invested when we didn’t have a product yet, so their early trust was key,” said Kolawole Olajide, CEO & co-founder of Sava, based in South Africa.

“With the invaluable support of the scaling team, not only have we now reached the commercialization phase, but we’ve also defined our internal culture and processes and established our brand. We never thought we’d receive so much help and support from a venture capital fund.”

The fund will focus on aiding startups in industries that can have a transformative impact on addressing current and future challenges across the continent, especially with the expected growth in population, such as fintech, health tech, proptech, logistics, and tech.

Phot Credit: Breega –The investment team at Breega (l-r Ben Marrel, Tosin Faniro-Dada)