Catalyst Fund Raises Over 20% of $40 Million Target to Drive Climate Resilience Innovation in Africa

The Catalyst Fund, a pioneering pre-seed venture capital fund and accelerator focused on driving climate resilience innovation in Africa, is proud to announce its successful first closing with over 20% of its targeted $40 million fund already secured. This milestone underscores the Catalyst Fund’s strong commitment to shaping a climate-resilient future by supporting early-stage startups across the African continent.

The Catalyst Fund has garnered substantial support from esteemed investors who share its mission of enhancing the reach and impact of pre-seed companies focused on building a climate-resilient future in Africa. Notable backers include FSD Africa, FSDAi, Cisco Foundation, USAID Prosper Africa, and seasoned tech investor Andrew Bredenkamp. With additional support from JPMorgan Chase & Co and the Global Environmental Facility, Catalyst Fund is not just providing financial support but also dedicated impact measurement and research assistance to climate innovators, facilitating insights sharing, and fostering partnerships through its Ecosystem Hub.

With a strategic focus on various sectors, including agtech and fishery management, food systems, insurtech and climate fintech, cold chain, waste management, and water management, the Catalyst Fund is fast-tracking sustainable green growth. It aims to support solutions that enable communities to prepare for and manage climate-related shocks, adapt livelihoods to climate impacts, and build long-term resilience.

Anne-Marie Chidzero, Chief Investment Officer at FSDAi, emphasized the importance of finance in Africa’s climate solutions and its potential to lead in climate innovation. She stated, “This collaboration with the Catalyst Fund… will support entrepreneurs developing made-in-Africa climate-resilient solutions, contributing to Africa’s green economic growth and global efforts to tackle the impact of climate change.”

The Catalyst Fund’s commitment extends to supporting 40 pre-seed startups, with a special focus on mission-driven local and women founders. In addition to providing early-stage capital, the fund offers hands-on, tailored venture building support to accelerate the growth of startups. Early this year, ten African startups received a total of $2 million from the Fund to build solutions to improve the resilience of climate-vulnerable communities in Africa. What sets the Catalyst Fund apart is its pledge to provide follow-on capital to startups in their Seed and Series A rounds, bridging a critical funding gap for climate ventures in Africa.

This successful first closing marks the Catalyst Fund’s transition from a philanthropic startup accelerator to a venture capital fund. Leveraging seven years of experience supporting startups on the continent, the Catalyst Fund is well-equipped to drive climate innovation in Africa’s emerging markets.

With a robust network of strategic partners and a comprehensive approach to nurturing startups, the Catalyst Fund is poised to usher in a new era of climate tech innovation across the African continent. Its commitment to supporting climate-resilient solutions and empowering local entrepreneurs highlights the vital role it plays in addressing climate challenges in Africa and beyond.