The 2016 will be an encouraging year for startups in Africa as investments may pour into the technology and commerce segments. Silvertree Capital, an investment arm of Silvertree Internet Holdings (SIH), sees $10 million fresh investment coming in for startups this year.
The consumer-based internet platform Silvertree Holdings is focusing on scaling technology and commerce companies in small and fast growing niches. It has already invested $5 million in business building operations and acquisitions. Silvertree Capital sees executive team including Koser, Peter Allerstorfer, Paul Cook and Andrew Whale to invest additional $10million in Africa.
According to Ventures Africa, Cape Town-based Silvertree Internet Holdings will invest in potential startups in Africa. Silvertree Internet Holding witnessed 330 percent growth rate in 2015 alone, the robust growth since its inception in 2013.
Silvertree Internet Holdings registered 50 percent rise from 2014 as the number of consumers in Africa reached to 25 million in 2015. Its e-Commerce platforms — Click n Compare, Faithful to Nature, Cyber Cellar, HealthCart and PriceCheck helped Silvertree Internet Holdings to get the encouraging number of consumers.
Silvertree Capital is keen on tech startups in South Africa, Nigeria and Kenya. It has decided to invest in online companies to support the expansion of its owner-operator portfolio.
The top three investments are recorded in South Africa, Nigeria and Kenya. Among the top-10 sectors under study, the solar sector witnessed the highest investor activity, as reported by CNBC Africa. The year 2015 was an encouraging year for startups in Africa.
Manuel Koser, Founder and Managing Director, Silvertree Internet Holdings, said: “Our meteoric growth in 2015 has been driven by execution-focused delivery across all of our portfolio companies as well as a number of company acquisitions that are already delivering positive returns. Our job now is to build on this momentum to maintain our aggressive growth trajectory and cement our dominance in the African e-commerce and price comparison markets.”
African startups received $186 million funding in 2015, while South Africa accounted for over $54.5 million. African Tech Startups Funding Report-2015 has revealed that 125 tech startups raised $185.79 million funding in 2015 in African continent, as reported by Forbes.
Silvertree is committed to building businesses although they are not an incubator. Considering the value and potential of emerging markets, Silvertree is looking for top tier talent to invest in and work with.
Peter Allerstorfer, Managing Director of Silvertree, said: “We are entrepreneurs who invest in like-minded entrepreneurs. Our search for young, dynamic, hungry talent who want to scale faster and outpace their competitors, will be a key focus for us in 2016,” he said.