NewGenAngels, an exclusive international investment Club of New Generation of Angels focusing on Africa, has announced plans to launch a number of sidecarfunds for investments in African startups.
The sidecarfunds – a pooled investment vehicle that invests independently or alongside an angel group – will allow NewGenAngels’ venture partners to participate in some of the best deals available by co-investing with the leading investors across the continent.
NewGenAngels is targeting about US$4.5 million for the sidecarfunds, with a minimum size of US$2 million and a maximum of US$6 million.
“The sidecarfunds are a crucial part of our strategy to build a world class organisation and we look forward to welcoming family offices and individual investors to be part of this exciting chapter,” NewGenAngels stated in a post.
The sidecarfunds are being planned due to the fact that NewGenAngels missed out on some really juicy investment opportunities. This was caused by the time it takes to get individual Angels to commit to investment rounds.
With the sidecarfunds, NewGenAngels will be able to engage with passive investors, allowing them to lead deals and invariably helping to convince more Angels to participate in those rounds.
The sidecarfunds will be open to NewGenAngels’ venture partners as well as non-partners.
For more information on the sidecarfunds, do send an email to firstname.lastname@example.org
During the NewGenAngels-organized Africa Business Angel Forum (ABAF), a group of investors announced plans to invest a combined sum of US$60 million in African ventures.
With these US$60 million fund and the US$4.5 million sidecarfunds, 2016 might just be “the year of funds” for African startups.
Ever since it launched, the goal of NewGenAngels has been to mobilise investment for Africa-focused companies, and it plans to activate a #1000angelinvestors to #investinafrica by #2020 as part of its plans to accomplish its goal.