Mamor Capital Ventures has secured a R300 million first close for its inaugural fund, giving the black women-owned venture capital (VC) firm capital to begin investing in post-revenue South African technology businesses.
According to a statement, the firm is continuing to raise funds towards a target fund size of R550 million, following more than three years of fundraising.
South African state-owned asset manager, the Public Investment Corporation (PIC), is the fund’s anchor investor, with additional commitments from the High Impact Seed Fund of Funds managed by the SA SME Fund, the Technology Innovation Agency and the Small Enterprise Development and Finance Agency.
The PIC also played a catalytic role in mobilising additional institutional commitments to the fund, says Mamor Capital.
Mamor Capital Ventures invests in scalable South African businesses using technology to widen access to digital and financial services and increase economic participation.
Its leadership team has experience spanning investment banking, venture capital, telecommunications, technology and entrepreneurship.
Alongside its commercial investment mandate, the fund aims to contribute to a more representative investment ecosystem by applying a gender lens and increasing access to growth capital for underrepresented founders.
Mamokete Ramathe, founder and CEO of Mamor Capital, says the first close marks a shift for the firm from fundraising, to deploying capital.
“After more than three years of fundraising, reaching this first close is an important step for Mamor Capital and a strong endorsement from the institutions that have backed our strategy. It gives us the capital to start investing in South African businesses that are using technology to widen economic participation, while remaining focused on delivering competitive returns for our investors,” says Ramathe.
The fund will focus on businesses with strong fundamentals and the potential to generate measurable economic impact alongside sustainable returns.
Its investment mandate includes companies addressing financial access, digital infrastructure and other barriers to economic participation.
According to Mamor Capital, the PIC's investment provides exposure to the growth potential of SA’s venture capital market, while supporting its transformation objectives.
PIC acting chief investment officer Leon Smit says institutional investors have a role to play in developing the country's venture capital market.
“Mamor Capital brings together an experienced investment team, a clear strategy and a strong transformation proposition. We see significant potential in South Africa’s venture capital market and believe institutional investors can play a greater role in providing the long-term capital needed to support its development,” comments Smit.
The SA SME Fund's investment comes through its High Impact Seed Fund of Funds, which is aimed at strengthening the pool of specialist capital available to South African technology businesses.
SA SME Fund CEO Ketso Gordhan notes Mamor Capital adds investment capacity to the market.
“Our investment through the High Impact Seed Fund of Funds is intended to strengthen the pool of local fund managers with the capability to identify and support promising technology businesses.
“Mamor Capital has a clear focus on businesses that can broaden participation in the digital economy, while building sustainable commercial value,” says Gordhan.
Mamor Capital says it will target businesses that have progressed beyond the early proof-of-concept stage and can demonstrate commercial demand.
Fuzlin Levy-Hassen, co-founder and CFO of Mamor Capital, says the first close gives the firm the capacity to pursue opportunities, while maintaining investment discipline.
“Our investment decisions will be grounded in the strength of the business, the quality of the management team, and whether our capital and experience can help the company build sustainable scale.”
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