Local VC P1 Ventures has completed a second close of US$35 million for its Fund II, in the process welcoming the World Bank’s International Finance Corporation (IFC) as its first public institutional investor.
Founded in 2020, P1 Ventures is a high-conviction investor on a mission to back Africa’s best entrepreneurs, aiming to support founders utilising emerging technologies, such as Generative AI, to disrupt mainstream industries, from healthcare to retail and agriculture.
It is particularly focused on backing repeat founders and experienced operators that have validated products, proven and in-demand software business models that can scale up capital-efficiently, and which have early traction with customers. Its portfolio includes the likes of Algeria’s Yassir, Egypt’s MoneyFellows, Nigeria’s Reliance Health, and Morocco’s Chari.
P1 has now completed a second close of US$35 million for its second fund, which includes investment from IFC. The IFC partnership will make it easier for P1’s early-stage tech entrepreneurs to access growth capital, expand their operations and attract follow-on funding. It will also enable P1 to double down on the sectors in which Africa has vast untapped potential and strong economic advantage, such as fintech and AI-powered SaaS.
Meanwhile, the VC firm has also expanded its in-house data science team to further leverage AI in its sourcing for dealflow and talent.
“We’re seeing an unprecedented rate of innovation, high-quality founders and strong resilience across Africa. As international investors retreat, we’ve stayed contrarian. We’ve leaned into the most attractive investment opportunities and believe this will be one of the best vintage years for regional venture capital funds. Similar to what happened in Latin America a couple of years ago, local VCs have a great opportunity to back great founders at better entry valuations as markets begin to normalise,” Hisham Halbouny, P1 Ventures co-founder and managing partner, said.
