Following a spike in Q4'22, Africa funding trended down in the first quarter of the year.
Following a 150% jump in Q4’22, Africa venture funding trended down in Q1’23, falling by 30% to reach $0.7B.
Deal activity slowed down as well. Q1’23 saw 86 deals, a 36% drop compared to the previous quarter.
Other highlights across the Africa venture ecosystem in Q1’23 include:
- Africa’s M&A activity slowed down significantly in Q1’23, dropping by 57% to only 9 deals. The top deal here was GBarena’s $15M acquisition of the Tunisian gaming startup Galactech.
- The IPO market also remained frozen in Africa in Q1’23, seeing no public exits for the second consecutive quarter.
- Early-stage deal share in Africa scaled back in Q1’23, dropping from 83% in Q4’22 to 76% in Q1’23. In contrast, the share of mid- and late-stages grew slightly, to 10% and 8%, respectively.
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Dig into investment trends from around the world in our global State of Venture Q1’23 Report.
