Global venture capital (VC) firm Partech has reached the first close of Partech Africa II, a €245 million ($263 million) fund aimed at early- and growth-stage startups across Africa.

The firm exceeded its initial goal of €150 million ($163 million) and now aims to reach a final close of €280 million ($300 million). This fund is one of three Partech has launched in the last two years, including a $750 million growth fund and a $100 million seed fund, which target various markets and industries globally.

📊 African startups raised almost $5 billion in 2022
According to data from Africa: The Big Deal, African startups raised a record $4.8 billion in 2022, despite a slowdown in the second half of the year. This marks an increase from the $4.3 billion raised in 2021 and is expected to exceed $5 billion once all deals

Partech's portfolio of 17 startups in nine countries across Africa has brought value to over a million merchants and 20 million end users. The firm's startups have attracted over 10% of the investment that has flowed into the continent between 2021 and 2022, including WorldRemit subsidiary Sendwave and Stripe-backed Wave.

Partech Africa II is a sequel to Partech Africa I, which was announced in 2018 and closed at $143 million. Since then, VC activity has increased dramatically, with African startups raising around $5 billion in 2022, compared to $1.16 billion in 2018.

The new fund corresponds to this growth in the tech ecosystem, according to the firm's general partners Tidjane Deme and Cyril Collon. The strategy for the second fund is to double down on what was done with the first fund, as the market has validated its approach.