SA Venture Capital firm Knife Capital has received a $10-million investment from Mineworkers Investment Company (MIC) as part of their Series B expansion. Knife Capital will channel the funds to the aggressive expansion of Africa-wide innovative companies that fill a gap in follow-on funding.
MIC is another anchor investor to the fund and works alongside local and international investors. During the announcement, Nchaupe Khaole, the Chief Investment Officer at MIC, described the move to change the way local institutional investors approach venture capital as a model that has been in the pipeline at MIC for several years.
He pointed out the looming shortage in Series B funding for most startups that get their way out of the Series A funding round while requiring significant risk funding for growth and scaling. The most successful entrepreneurs on the continent with innovative solutions remain underfunded on the global stage.
Knife Capital has offices in London, Cape Town, and Jersey and runs 12J Venture Capital funds – KNF Ventures I and II.