After a strong April, funding in Africa slowed down a bit in May, but not enough to derail the momentum.
Startups on the continent raised $254 million in disclosed $100k+ deals, according to Africa: The Big Deal. That brings the total for 2025 to just over $1 billion, which is already 40% higher than where we were this time last year.
The dip from April’s $343 million wasn’t unexpected, but investors wrote larger cheques in May despite fewer deals. While April had 39 $100k+ rounds and just three deals above $10 million, May saw only 36 $100k+ deals, but seven of them crossed the $10 million mark. That points to more concentrated bets on later-stage companies.
Kelechi Edeh
Leading the way was Egypt’s Nawy, which closed a $75 million round ($52 million equity + $23 million debt), marking Africa’s biggest-ever proptech deal. Egypt also produced six of the seven $10M+ raises in May, including Tasaheel ($50M via bond), Valu ($27M), Thndr, Sylndr, and Money Fellows (each $13M+). The only exception was South Africa’s healthtech startup, AURA, which raised $15 million to expand into the U.S.
Three of the four notable exits in May also came from Egypt, including Fatura’s acquisition by MaxAB-Wasoko, a special purpose acquisition company (SPAC) merger involving Qardy, and a merger between wellness startups Miran and Welnes. West Africa wasn’t left out, though, as Baobab+, a solar services company in Senegal, was acquired by BioLite.
So far in 2025, Egypt leads the continent with $330M+ raised, or 31% of the total, followed by South Africa (26%), Nigeria (15%), and Kenya (12%). Beyond the numbers, the shift in how funding is raised, through bonds, venture debt, and blended structures, signals a more mature ecosystem, one that’s learning to fund growth on its terms.
It’s too early to say a full recovery is underway. But for a region where liquidity can make or break a startup’s survival, May showed that capital is still flowing, and that founders and investors alike are adapting. We'll see what June has to offer.
Kelechi Edeh
