South African venture capital firm, Conducive Capital, has unveiled a $50 million fund earmarked for investments in early and growth stage startups across South Africa and the broader African continent.
Founded by Clive Butkow, the Founder and former CEO of Kalon Venture Partners, and Mitchan Adams, Co-Founder of South African fintech company, Ozow, Conducive Capital is aiming to secure its initial funding round by July 2024.
The fund is aiming for $15 million, with an ultimate goal of reaching $50 million within a 24-month period. The fund will invest in disruptive technologies that are post-revenue and capital efficient, have good unit economics with product market fit, and have the ability to scale their businesses both locally and globally.
“There is strong demand for quality capital to support emerging business in South Africa, with the deployment of early- and growth-stage capital, and we are plugged into networks that can open doors to international ecosystem players and mentors, as well as local and global investors for follow-on funding,” said Butkow.
Conducive Capital also aims to enhance diversity within the early and growth-stage investment sector, with a focus on fostering the development of the next generation of black women venture capitalists.
“We need women in this space in particular. And black women – there are not nearly enough. And Clive has been clear from the start: part of our reason for existence is to share knowledge and pass the baton to the next generation,” said Adams.
Indeed, Kalon Venture Partners has made significant strides in supporting disruptive digital ventures, while Ozow has been a pioneering force in the payments industry, showcasing innovation and efficiency in financial technology.
“It means we bring both business acumen and tech know-how to the equation,” Adams said.
“And we go beyond just monetary investments. Alongside funding, Conducive Capital pledges comprehensive support, offering strategic guidance, operational expertise, and mentorship to nurture startups, facilitating their growth into industry frontrunners.”
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