About This Fund
The TIDE Africa Fund II of TLcom Capital has a target investment of $154 million in seed and Series A companies, making it Africa's largest investor across these stages. It attracted participation from over 20 limited partners, including notable investors such as the European Investment Bank (EIB), Visa Foundation, Bertelsmann, and AfricaGrow, a joint venture between Allianz and DEG Impact. TLcom Capital focuses on traditional sectors like fintech, mobility, agriculture, healthcare, education, and commerce, prioritizing early-stage opportunities, particularly at the seed and Series A stages, while also considering opportunistic deals at growth and later stages. It generally backs 20 to 25 companies, aiming for 10x to 20x returns on potential investments and expects to achieve 3x to 4x returns on an aggregate basis. The fund is also improving its risk by backing repeat founders, like Sim Shagaya, Etop Ikpe, and Grant Brooke, as well as investing earlier in deals and women-led startups through FirstCheck Africa. As of April 2024, TLcom has backed six companies from its new fund, with initial investments ranging from $1 million to $3 million, and aims to target the Big Four markets, adding Egypt and South Africa as destinations of its capital. By doing so, TLcom expects to achieve tangible returns and drive the overall growth of the African tech ecosystem. The fund will invest between USD 500 000 as the minimum initial investment in seed stage opportunities, to USD 15 million over the life cycle of the investment, with an expected average of around USD 7-9 million per successful company.From the USD 5 million, 2 million will be dedicated to female entrepreneurs through a co-investment agreement with First Check Africa. It is a 10-year life Fund of which 5 years investment and 5 years divestment period which can be extended by 1 year each.