Aruwa Capital Management, an African venture capital firm founded by Adesuwa Okunbo Rhodes, has successfully closed its inaugural fund, exceeding its $20 million target. This significant milestone marks a crucial step in addressing the critical underfunding of women-led businesses in Africa.
Recognizing the significant disparity in funding received by women-led startups on the continent, Aruwa Capital was established with a specific focus on investing in companies founded by or serving women. The firm’s inaugural fund has attracted a diverse range of investors, including the Visa Foundation, Mastercard Foundation, and leading family offices from Africa, Europe, and the United States.
“We were intentional about selecting LPs who share our commitment to gender-lens investing,” stated Adesuwa Okunbo Rhodes, Founder and Managing Partner at Aruwa Capital. “This includes local investors with deep market knowledge and strategic partners who can provide valuable support to our portfolio companies.”
The fund will invest between $500,000 and $2.5 million in ten high-growth startups across sectors such as healthcare, fintech, renewable energy, and essential consumer goods. Aruwa Capital has already invested in six companies, including Lifestores, Pngme, and Koolboks, demonstrating its commitment to supporting innovative businesses that empower women and drive inclusive economic growth.
The Visa Foundation, a leading supporter of women’s economic empowerment, expressed its strong belief in Aruwa Capital’s mission. “We are thrilled to be the first institutional investor in Aruwa Capital Management,” said Najada Kumbuli, Head of Investments at Visa Foundation. “By investing in women-led investment funds like Aruwa, we can effectively address the financing gap faced by women-led small businesses.”
This fund closing marks a significant achievement for Aruwa Capital and underscores the growing momentum behind gender-lens investing in Africa. By providing critical capital and support to women-led businesses, Aruwa Capital is poised to play a vital role in driving economic growth and creating a more equitable entrepreneurial ecosystem on the continent.
