Cape Town-based venture capital (VC) firm Havaíc reported strong growth across its investment portfolio in 2025, with its firms collectively generating over $160 million (R2.6 billion) in annual revenue.
In its annual VC update for 2025, the firm highlights rising revenue among its portfolio of start-ups and continued momentum in capital raised to support African technology companies.
According to the firm, the portfolio’s revenue growth reflects Havaíc’s strategy of investing in post-revenue technology companies that have created viable services and are gaining traction in African and global markets.
The VC has three venture funds to support high-growth African technology start-ups. Fund 1, launched in 2016, raised $6 million and focused on early-stage African tech investments. Fund 2, launched in 2020, secured $20 million and expanded the firm’s portfolio through follow-on investments.
Its latest vehicle, African Innovation Fund 3, launched in 2024, is targeting $50 million to invest in around 15 high-growth African start-ups with strong international scaling potential.
“Havaíc has expanded its funding base, with over $100 million in total capital raised across its three venture funds since inception,” says Ian Lessem, managing partner at Havaíc.
“The latest vehicle, the African Innovation Fund 3, has already secured significant commitments from institutional investors. The fund has attracted backing from investors − including Sanlam Multi-Manager, SA SME Fund and Fireball Capital − signalling growing institutional confidence in African venture capital.”
Havaíc focuses on high-growth technology sectors, such as fintech, data analytics, communications platforms and digital marketplaces.
Scaling African start-ups globally
Havaíc’s portfolio includes more than 20 technology start-ups operating in over 180 countries and serving more than 22 million users globally. This, according to the firm, demonstrates the international reach of companies emerging from the African innovation ecosystem.
Investments from the latest fund include SAPay, Sportable, NjiaPay and SwiftVEE – which are all building technology solutions with regional and global expansion potential.
Havaíc says its portfolio has also recorded notable exits, including the acquisition of RapidDeploy by Motorola Solutions, and the merger of hearX and Eargo to form LXE Hearing.
“These deals are regarded as some of the most significant technology transactions involving South African start-ups.”
Havaíc says the strong revenue performance of its portfolio companies reflects a broader shift in African venture capital toward sustainable, revenue-generating start-ups rather than speculative growth models.
Maturing African VC
Beyond the performance of Havaíc, 2025 marked an inflection point for Africa’s VC market, with the continent's start-ups raising $3.2 billion, excluding exits, according to data from Africa: The Big Deal.
In 2025, the African start-up ecosystem recorded a 40% year-on-year increase in funding, surpassing both 2023 and 2024.
The growth came after two consecutive years of decline, with start-up investment dropping 25% year-over-year in 2024 ($2.2 billion) and declining 35% year-over-year in 2023 ($3 billion), notes the study.
Industry analysts note that increasing participation from institutional investors and stronger revenue performance among start-ups could help position African VC as a more resilient and attractive asset class in the coming years.
“Total funding across the continent increased alongside institutional participation in this growing asset class. An increased focus on ESG [environmental, social and governance] − supported by rigorous reporting and greater professionalisation across the industry − is driving the growth of more resilient businesses built on strong governance and strategic guidance,” says Havaíc.
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