Convergence Partners invests in 4Di Capital
Convergence Partners will join 4Di Capital, an independent early-stage technology venture capital firm based in South Africa’s “Silicon Cape”, as the newest investor in 4Di Capital Fund 1.
Convergence Partners is an investment management firm focused on the telecommunications, media and technology sector in Africa.
It has investments in Vodacom, Internet Solutions, through Didata, Seacom and FibreCo, and will join 4Di as an equal limited partner alongside Reinet Fund S.C.A., F.I.S., and E. Oppenheimer & Son.
4Di Capital’s assets under management will double, as the firm will also take over Convergence Partners’ current portfolio of technology venture investments in the form of Integrat, Bloodhound Technologies and Skillpod Media.
“This vote of confidence from a leading local investor comes at a time when it is challenging to raise capital for this asset class globally, particularly in South Africa,” said Justin Stanford, a founding partner of 4Di Capital and co-founder of the Silicon Cape Initiative.
In November, Convergence Partners unveiled a new infrastructure fund dedicated to the information and communications technology (ICT) sector in Africa, with a first close of $145 million.
The Convergence Partners Communications Infrastructure Fund (CPCIF) is targeting a final close of $250 million, and will target communications infrastructure and related services and technologies across sub-Saharan Africa.
Brandon Doyle, CEO of Convergence Partners said: “Historically, we have focused on ICT investments across the full spectrum from smaller early stage companies through to large multinationals and infrastructure projects.”
“With the successful launch late last year of the Convergence Partners Communications Infrastructure Fund, our focus has increasingly been shifting to big ticket pan-African ICT investments that accelerate digital access and development across the continent.”
“We have spent many years assessing the global VC environment and have built a deep understanding of the ecosystem and key players involved,” said Andile Ngcaba, chairman of Convergence Partners.
“We were thus looking for partners who have themselves started up successful early stage tech ventures and, importantly, who have built a strong bridge into the global VC market, particularly in the US We believe this transaction aligns us with an experienced and passionate management team as well as other investors who support South African technology innovation.”
Andile Ngcaba
More on Convergence Partners and 4Di Capital
Convergence Partners launches $145 million ICT fund
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