Since 2012 up to mid-2024, Francophone Africa has had 76 exits, peaking at 13 in 2019

Key takeaways:

  • The peak year was 2019 with 13 exits, marking the most successful exit year since tracking began in 2012.
  • Zero exits occurred in 2020, likely reflecting the impact of the COVID-19 pandemic on exit strategies and deal closures.
  • The years 2021 and 2022 saw a rebound, with 11 and 10 exits respectively, suggesting a recovery in investor confidence post-pandemic.
  • Slower exit activity was recorded in 2023 and early 2024, with 6 and 3 exits, respectively (2024 is as of H1).
  • From 2012 to 2016, annual exits ranged between 3 and 4, except for a spike in 2013 with 10 exits.
  • The overall average exit volume is low, with fewer than 7 exits per year on average across the 12 years.

Private capital exits in Francophone Africa have been fluctuating over the last 12 years. However, the year 2019 saw 13 successful exits, the highest recorded since 2012. In total, the region has experienced 76 exits from 2012 to mid-2024. The early years (2012-2017) saw a very low amount of exits, ranging between 2 to 4, except in 2013 (10 deals). The uneven nature of exits signals a growing but still unstable exit infrastructure for private capital in Francophone Africa.

Source:

AVCA

Period:

2012 - 2024
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Francophone African companies attracted $1.8 billion in private capital in 2021, the highest amount in the past 12 years
  • Francophone Africa attracted $1.8 billion in private capital in 2021, about 9x the previous year (2020).
  • That same year saw 34 deals, which is quite high when compared to some other years, indicating strong investor confidence.
  • In 2024, deal value amounted to just $0.1 billion, and deal volume to 19, pointing to a significant cooling in activity.
  • Between 2012 and 2015, the region saw low deal values, with both 2014 and 2015 recording just $0.01 billion in investments.
  • A notable spike occurred in 2017 with $0.7 billion invested across 17 deals, marking the first major surge before 2021's breakout.
  • Deal counts haven’t always aligned with capital volume. For instance, 2023 had 42 deals but only $0.4B, suggesting a trend of smaller-sized investments.
Tech-enabled firms drove 71% of deal volume in Francophone Africa in 2021, the highest contribution so far
  • The breakthrough year for tech in Francophone Africa was 2021, with 71% of deal volume going to tech-enabled firms, an all-time high.
  • The growth of tech began slowly, from 0% in 2015 to just 12% in 2017, showing how recent the tech surge is.
  • Between 2018 and 2020, tech’s share gradually rose from 15% to 27%, setting the stage for the explosive growth of 2021.
  • Post-2021, tech dominance slightly softened—holding 52% in 2022, 50% in 2023, and 63% in 2024 H1, suggesting a more balanced diversification.
  • The last year traditional sectors led in deal volume was 2020, accounting for 73%, right before tech flipped the narrative.
Consumer staples, financials, consumer discretionary, and industrials dominate private capital in Francophone Africa, capturing 68% of all investment volume since 2012
  • The consumer staples sector attracted the highest private capital volume with 69 deals.
  • The financial sector shows strong traction, especially as digital finance and fintechs continue to open access to banking services in underserved markets.
  • Fifty-five deals in the consumer discretionary category suggest investors are interested in rising middle-class consumption, retail, and lifestyle-driven spending patterns.
  • At 50 deals, industrials, including manufacturing and infrastructure, remain a backbone for private capital.
  • Healthcare (24 deals) and utilities (37 deals) reflect increasing investor focus on sectors with long-term impact and scalable public value.
Five countries account for 52.6% of Francophone Africa's (29 countries) private capital transactions value between 2012 and 2024
  • With $1.2B in deal value (25%), Côte d’Ivoire stands far ahead, signalling strong investor confidence.
  • At $697M (14.5%), Senegal is proving itself as a rising investment star.
  • Despite being a small economy, Rwanda drew $166M (3.5%).
  • DR Congo attracted $143M (3.0%), a modest share relative to its size.
  • Twenty-four Francophone African countries collectively received 47.4% ($2.3B) of the deal value, suggesting huge untapped or underserved markets across Francophone Africa.
Kenya accounts for 83.8% of the total startup funds secured in East Africa from 2019 to 2024
  • Kenya is the absolute leader in startup funding, with $3.3 billion raised in the past six years.
  • The rest of East Africa is way behind, with Tanzania ($286M), Uganda ($183M), and Rwanda ($91M) being the next in line. But collectively, they don’t even match 20% of the funding Kenya received.
  • The total funding raised across East Africa from 2019 to 2024 is $3.94 billion, which means Kenyan startups alone secured more than 8 out of every 10 dollars invested in the region.
  • Investor confidence is highly concentrated in Kenya, largely due to its well-developed venture capital ecosystem, startup accelerators, and government support for innovation.
Over the past six years, Kenya has secured an average of 81% of the total funding available in East Africa
  • Kenya dominates East Africa’s startup funding, securing over 83% of all funds raised between 2019 and 2024 — a clear indication of its position as the region’s startup capital.
  • Kenya’s startup funding share has remained consistently above 80% since 2020.
  • 2023 and 2024 saw Kenya secure nearly 89% of all funds, marking its strongest position.
  • Other East African countries combined have not received more than 30% of the funding in any year since 2019.
  • The lowest share of funding Kenya secured was in 2019 (69.81%).
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