Venture capitalists trimmed Southern Africa’s start-up investments in 2021, says SAVCAssociation. Start-upFunding start-ups VentureCapital
Southern Africa’s ICT sector attracted the largest rand value of investments from venture capital firms and fund managers in 2021., released by the Southern African Venture Capital and Private Equity Association , conducted in collaboration with research partner VS Nova consultancy.
There were also fewer fund managers investing in 2021, with various fund managers focused on supporting existing portfolios, it notes. Other sectors surveyed include healthcare services, agriculture, consumer product and services, food and drink, and construction. According to the report, new deals accounted for most of the funds under management in the overall active portfolio, amounting to 73.1% of all active deals on record by number of deals concluded.
Growth in investments by independent fund managers continued an upward trend seen in recent years, now accounting for 57.8% of all deals in the active portfolio of VC investments. This increase is reflected in the number, as well as the value of active deals done by independent fund managers, growing by 20.6% from R2.97 billion in 2020 to R3.58 billion in 2021, says the report.