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 percent committed.
The 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.
Catalyst Fund’s Investment Focus
Catalyst Fund has a strategic focus on solutions in agri-tech and fishery management, food systems, insurtech and climate fintech, cold chain, waste management, and water management. These are sectors that are critical to Africa’s economic development and are also highly vulnerable to climate change.
The fund 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. This includes solutions that can improve agricultural productivity, reduce food waste, increase access to affordable insurance, and improve water and waste management.
Catalyst Fund’s Impact
Catalyst Fund is expected to have a significant impact on the development of climate resilience innovation in Africa. The fund will support 40 pre-seed startups, with a focus on backing mission-driven local and women founders. This will help to build a pipeline of climate-resilient startups in Africa and create jobs and opportunities for the continent’s youth.
The fund will also provide hands-on, tailor-made venture-building support to accelerate startups’ growth. This will help startups to develop their products and services, grow their businesses, and reach their full potential.
Catalyst Fund’s Impact on the Global Climate Crisis
Catalyst Fund is also expected to have a positive impact on the global climate crisis. By supporting climate-resilient startups in Africa, the fund will help to reduce the continent’s vulnerability to climate change and contribute to global efforts to mitigate climate change.