Deal Summary
Futuregrowth Asset Management (Pty) Ltd (Futuregrowth), a Cape Town-based investment firm, has invested R150 million (~$8 million) in Sourcefin, a Johannesburg-based company specialising in financing and supply chain solutions for South Africa's minority-owned black women, youth, and rural small, medium, and micro enterprises (SMEs). Sourcefin’s platform integrates purchase order funding, loans, invoice discounting, inventory financing and a network of 2,000 pre-vetted suppliers. The investment will enable Sourcefin to support minority-owned SMEs in completing critical projects, particularly government-issued orders in emergency housing, medical equipment, and construction sectors. With this backing, Sourcefin plans to deploy over $54.5 million by February 2025. The funding was provided through Futuregrowth’s High Growth Developmental Equity Fund (HGDEF), a closed-ended, limited-life fund created in late 2022 to invest in innovative, high-growth businesses in South Africa. The HGDEF has a committed capital target of R600 million (~$33 million).
Terms
- Fund Managers: Futuregrowth Asset Management (Pty) Ltd
- Fund: High Growth
