Monday, October 28, 2019 - Kenyan agri-tech startup, Twiga Foods, has raised $23.75 (Sh2.44 billion) from American investment bank, Goldman Sachs, to lay the foundations for international expansion and further develop its technology.
Launched in Nairobi in 2014, Twiga Foods has been building Kenya’s only end-to-end distribution for fresh and processed food using technology to link retailers with farmers and food manufacturers and avoiding the network of middlemen who exploit farmers
The US bank will provide funding to the start-up together with three other Twiga Foods existing investors - International Finance Corporation (IFC), venture capital firm, TLCom Capital, and French private equity fund, Creadev.
The startup is one of the best funded in the continent having secured $10.3 million funding in 2017, a further $10 million in November 2018 and $5 million in June 2019 from various investors.
“This funding enables us to invest in our technology and organisation to tackle the inefficiencies in Africa’s domestic food production and distribution ecosystems; a US$300 billion informal and fragmented market that is estimated to grow to US$1 trillion by 2030.”
“With the support of our investors, we are developing technology-driven commercial solutions and cooperating with existing industry players to solve the challenge of food security in Africa,” said Peter Njonjo, who became the company’s Chief Executive Officer in March after stepping down as president of Coca-Cola West and Central Africa.
On the other hand, Goldman Sachs Africa Head, Jules Frebault, said the firm was delighted to be backing Twiga as it scales up.
"We are delighted to be backing Peter and the highly capable team as they scale operations and drive sustainable access to quality food on the continent," said Jules in a statement.
The Kenyan DAILY POST