Catalyst Fund, a pre-seed venture capital fund and accelerator focused on driving climate resilience innovation in Africa, has announced the successful first close of its targeted US$40 million fund, with over 20 per cent committed.
Catalyst Fund has garnered significant backing from investors including FSD Africa, FSDAi, Cisco Foundation, USAID Prosper Africa, and seasoned tech investor Andrew Bredenkamp, all of whom share its mission to enhance the reach and impact of pre-seed companies at the forefront of building a climate-resilient future in Africa.
With support from JPMorgan Chase & Co and the Global Environmental Facility, Catalyst Fund also works to provide dedicated impact measurement and research support to climate innovators, share insights and learnings, and enable partnerships via its Ecosystem Hub.
With a strategic focus on solutions in agri-tech and fishery management, food systems, insurtech and climate fintech, cold chain, waste management, and water management, Catalyst Fund is expediting sustainable green growth. It will focus on solutions that can enable communities to better prepare for and manage shocks, adapt livelihoods to climate impacts and build long-term resilience.
The fund will support 40 pre-seed startups, with a focus on backing mission-driven local and women founders, offering essential early-stage capital and pairing it with hands-on, tailor-made venture building support to accelerate startups’ growth. The fund’s commitment extends beyond the initial stage, as it pledges to provide follow-on capital to startups in their seed and Series A rounds. By bridging this critical funding gap, the Catalyst Fund addresses a key bottleneck for climate ventures in Africa, positioning them for further growth-stage funding at Series B.
“By blending equity investments with hands-on venture building, we believe we can unlock tremendous potential for innovative companies on the continent. Supporting ventures at the pre-seed stage requires more than capital. Our venture builders are the engineers, data scientists and growth marketing experts who can supercharge founders’ journeys toward building scalable and highly impactful ventures,” said Maelis Carraro, managing partner of the Catalyst Fund.
“At FSDAi we believe strongly that Africa has the potential to lead in climate solutions provided it has the finance it needs. Our mission is to support that by investing in innovative solutions that will help channel finance to under-resourced parts of the green economy. This collaboration with the Catalyst Fund, part of a package of investments totalling US$19.5 million which we are announcing today, will do that by supporting entrepreneurs developing made-in-Africa climate-resilient solutions, so contributing both to Africa’s green economic growth and to global efforts to tackle the impact of climate change,” said Anne-Marie Chidzero, chief investment officer at FSDAi.
