Impact fund boosts Kenyan agtech firm

Invested Development, the early-stage impact fund, has invested into iProcure, a sales and inventory management software company based in Africa.

Invested Development (ID), an early-stage impact fund, has invested into iProcure, a Kenyan agtech company that produces software to improve sales and inventory management in rural and peri-urban agriculture markets.

The investment is just one of many opportunities on the continent, according to Christina Tamer, investment analyst at ID.

“There aren’t lots of agtech companies yet, but there’s lots of potential,” she told Agri Investor. “Population growth, especially in urban areas, will cause a rise in demand for agriculture production, and agtech will be an important part of that. Overall, there is significant opportunity, and more people [investors and entrepreneurs] are beginning to realise this.”

ID has responded to these opportunities by developing its presence on the African continent. “In terms of expertise in Africa, we have other investments in Uganda, Tanzania, South Africa, and Nigeria and have had an office in Nairobi, Kenya since 2011. Our staff has various work experience in Africa,” she added.

ID is active in making connections with entrepreneurs. “We provide some funding to Village Capital  a non-profit, which trains entrepreneurs and helps them get ‘investment-ready’. iProcure approached us first, for this particular investment, but we knew of them from their Village Capital experience,” said Tamer.

The investment was made from ID’s $20 million BSP Fund and was the sole investor in this fundraising round.

“iProcure has already benefitted from an angel private investor in a previous fundraising, although they may seek alternative forms of funding as the company grows,” said Tamer.

ID is still in a capital deployment phase but is considering more fundraising in the future, according to Tamer.