Saviu Ventures’ Second Fund Reaches €12 Million First Close to Back Francophone African Startups

A Francophone Africa VC Firm Expands Its Reach

Saviu Ventures, a venture capital (VC) firm focused on startups in the Francophone African region, has announced an initial close of €12 million for its second fund. The funding comes from private investors, including French and Kenyan family offices. Saviu Ventures is aiming to raise between €30 million and €50 million to primarily invest in startups within the Francophone Africa ecosystem.

Founders’ Background

Founded by Benoit Delestre and Samuel Touboul, Saviu Ventures has been actively involved in the Francophone Africa startup ecosystem since 2018. The VC firm’s first fund, worth €10 million, was deployed in 2018, and it invested in seed-stage startups across various sectors.

Sector Focus

For its second fund, Saviu Ventures is keen on investing in fintechs, health techs, and climate techs. However, the firm will slow down on investments in e-mobility, e-commerce, and e-logistics. This strategic shift reflects the changing market dynamics and the increasing demand for sustainable technologies.

Investment Strategy

Saviu Ventures plans to invest between €500,000 and €3 million in 15 to 20 post-revenue startups with its second fund. The firm targets "sustainable companies" and provides business development support to these businesses, alongside financial investment. This approach is centered on the idea that sustainable businesses can drive long-term growth and create lasting value.

Portfolio Companies

Saviu Ventures’ portfolio includes Waspito, a Cameroonian health tech; Rubyx, a Senegalese digital lending SaaS provider; and Workpay, an HR-payroll provider. The firm’s first fund invested in 12 startups, with 82% of them from the Francophone region.

Market Opportunity

The Francophone Africa region continues to attract VC firms due to its massive market opportunity and relatively lower competition compared to Anglophone regions. According to a 2022 Partech report, the region accounted for 49% and 38% of African deals and funding, respectively, last year.

Insights from Founders

"We will follow the same strategy as our first fund, where most of our investment will go to startups in the Francophone region," said Benoit Delestre. "We still keep the opportunity to invest in East, Southern, and North Africa startups that are keen on expanding to Francophone Africa."

"We are looking for sustainable businesses. We don’t want to target unicorns because we are not interested in businesses or business models that insist on burning cash," added Samuel Touboul.

The Rise of Francophone Africa

Saviu Ventures is part of the growing trend of VC firms targeting the Francophone region. The ecosystem has developed significantly since 2018, with more founders and incubators emerging. While it still lags behind Anglophone regions in terms of maturity, the Francophone region offers a vast market opportunity for investors.

Conclusion

Saviu Ventures’ second fund close represents a significant milestone in its journey to support sustainable startups in the Francophone Africa region. With its focus on fintechs, health techs, and climate techs, the firm is well-positioned to capitalize on emerging trends and create long-term value for investors.

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