Madica Secures New Capital for Early-Stage African Founders Outside Major Tech Hubs
Madica, an investment program established by global early-stage firm Flourish Ventures, has committed $6 million to fund between 25 and 30 additional African startups, building on its initial three-year run of backing companies outside the continent’s most saturated venture markets. The fresh capital injection aims to finance pre-seed investments while extending the evaluation timeline for portfolio companies to build sustainable growth and achieve profitable exits, according to africa.businessinsider.com.
Since its launch in 2022, Madica has backed 18 companies across 10 African countries spanning 12 distinct sectors. The program enforces strict eligibility requirements: startups must possess a minimum viable product, have paying customers, and rely on founders working full-time with little to no prior institutional investment. The strategy focuses heavily on emerging ecosystems rather than traditional powerhouses.
Attracting Applications from Smaller Markets and Female Founders
Approximately 40% of Madica’s applications have come from outside Africa’s four largest venture-capital markets: Nigeria, Kenya, Egypt and South Africa. In total, the program has evaluated applications spanning 28 sectors and 78 countries.
All supported businesses are majority African-owned. More than half of the portfolio companies feature at least one female co-founder, and 39% are led by female chief executives.
“Three years have given us valuable lessons and encouraging early signals, but building enduring companies and assessing venture outcomes takes longer. Flourish Ventures’ continued commitment gives us the capital to build on those lessons and test our conviction across a broader portfolio while deepening our company-building support,” Madica head Emmanuel Adegboye said.
Evaluating Follow-On Financing and Global Backing
Current metrics offer positive signals. Existing portfolio companies have secured follow-on financing averaging twice the original investment made by Madica.
Flourish Ventures, which manages approximately $850 million, divides its investments equally between the United States and emerging markets. The firm’s broader portfolio includes major fintech players such as Nigerian-founded payments company Flutterwave. Flourish operates with funding and governance connected to billionaire Pierre Omidyar, who founded eBay in 1995. Omidyar and his wife, Pam, support several commercial and philanthropic organizations under the Omidyar Group.
