Japan’s Uncovered Fund Unveils $15m Africa Fund, Makes First Investments

Uncovered Fund has launched a $15 million venture capital fund to invest in early-stage African startups. 

The VC firm founded by Takuma Terakubo in 2019 will invest $50,000 to $500,000 in African startups in seed and Series A stages.

Before Uncovered Fund, Terakubo was the CEO of Leapfrog Ventures. Together with Japanese startup incubator, Samurai Incubate, they launched Samurai Incubate Fund; a fund focused on early-stage African startups.

During his time there, the firm raised more than $4.5 million targeted at startups in Kenya, Uganda, Rwanda, South Africa, Ghana, and Nigeria. It also financed over 10 startups.

Uncovered Fund focuses on startups based in Kenya, Nigeria and South Africa playing in retail, fintech, healthtech, logistics, MaaS, agritech, and smart city sectors.

So far, it has backed five startups across these sectors and markets. They include Kenyan e-commerce platform, Sky Garden; US-based and Africa-focused healthtech startup RxAll; Francophone Africa mobility startup, Gozem; Kenyan fintech company LipaLater; and YC-backed Nigerian digital freight startup, SEND Technologies.

Some of these companies are doing business in other countries, and Terakubo says that the firm is willing to fund startups in other African countries as well.

“We are looking for African startups to expand their business across multiple countries. So, we welcome startups from any country as long as the business can scale.”

Terakubo says his VC firm hopes to increase this number by backing 15 startups this year and further the synergy between African founders and Asian investors.

“We are looking into joint development from Africa to Asian markets, and that is the big vision we have for the future,” he said. “As a VC and also an entrepreneur, I’m looking forward to the challenge of working with African entrepreneurs to create that future.”