Paris-based Breega is the latest European VC to close an Africa-focused fund

Two years after its launch, Africa Seed I, the Africa-focused fund of Paris-based VC firm, Breega has reached first close with $50 million in funding secured. The fund which aims to raise $75 million is led by Tosin Faniro-Dada, former CEO of Endeavor, and Melvyn Lubega, the founder of edtech unicorn, Go1.

The fund received backing from institutions like Bpifrance and the Dutch Entrepreneurial Development Bank. Breega plans to invest between $100,000 and $2 million in at least 40 across Nigeria, Egypt, South Africa, Kenya, Morocco, Senegal, Ivory Coast, Cameroon, and the DRC.

Breega, self-described as one of the fastest-growing VC firms in Europe, joins TLcom Capital and Partech—major European VC firms—that closed their Africa-focused funds this year. This signals continued VC interest in Africa’s tech ecosystem despite increased investor cautiousness as indicated in the 36% decline in VC funding in 2023.

Africa Seed I wants to lead pre-seed and seed rounds in the continent’s agritech, edtech, health tech, fintech, logistics, mobility, energy, and climate tech sectors but also promises to support potential portfolio companies in other ways.

“Our goal is to be the investors we wished we had while building our businesses,” Lubega said in an interview.

The VC has previously backed nine African startups: Numida, Klasha, Socium, Coachbit Kwara, Sava, and Hohm Energy—its most recent investment. The firm also recently opened offices in Lagos and Cape Town.