Venture funding into African startups saw a significant surge in February, with companies across the continent raising a combined $272 million in equity, debt and grants.
According to data from Africa The Big Deal, an African startup funding analytics platform, the total amount raised in February increased by a staggering 128.5 percent compared to the $119 million raised during the same month last year.
The figure represents a huge jump of 56.3 percent from the $174 million recorded in January, indicating a strong recovery after a slow start to the year. The funding volume is 7 percent higher than the average of $254 million over the last 12 months.
With this performance, the total amount raised in the first two months of 2026 now stands at $446 million, which is almost seven percent ahead of the same point in 2025. Of the funds raised in February, the majority, 54 percent or about $146.9 million, came in the form of equity investments.
Debt financing was 45 percent of the total, amounting to $122.4 million, while the remaining one percent, about $2.7 million, consisted of grants. The month's activity was driven by 40 African startups that secured $100,000 or more.
Leading the charge was Benin-based e-mobility company Spiro, which closed a $57 million debt financing round led by Afreximbank, with participation from Nitheo and Africa Go Green Fund.
The latest injection brings Spiro's total funding over the past four months to $157 million, with funds the company plans to use to build additional battery swap stations and expand its fleet of electric motorcycles in its existing markets in Kenya, Uganda, Rwanda, Nigeria, Benin and Togo, as well as testing services in Cameroon and Tanzania.
Egyptian e-commerce platform, Breadfast, secured $50 million in a pre-Series C round backed by Saudi billionaire family Mubadala Investment Company, SBI Investment Company and Olayan Financing Company.
The investment moves the company closer to its proposed initial public offering and will be used to expand infrastructure, enhance logistics and explore entry into new African markets ahead of a larger Series C round expected later this year.
Ivorian mobility fintech GoCab also made a significant milestone, closing a $45 million round to expand its “drive-town” model. The round consists of $15 million of equity and $30 million of debt, which is part of a larger $60 million Shariah-compliant debt facility currently in development.
The equity portion was handled by E3 Capital and JANNGO Capital, with KawiSafi Ventures and cur8 Capital also participating. Nigerian defense technology startup, Terra Industries, raised an additional $22 million barely a month after closing a $11.8 million funding round.
The new funding, led by Lux Capital and Resilience17 Capital, brings Terra's total funding to $34 million and pushes its valuation past $100 million. Other notable contributions came from South African edtech platform Enco Education, which raised a $22 million loan, and fellow South African startup Lula, which secured a $21 million investment.
Please follow and like us: