Kenya: Agritech firms whet funders’ appetite for ‘highly untapped’ sector

By Morris Kiruga
Posted on Friday, 13 May 2022 14:52

Waki Munyalo watches as Pula field officer Ruth Wambua updates her crop details in an app after a harvest insured by Pula, an agricultural insurance company that helps small-scale farmers manage the risk associated with extreme climate conditions, in Kitui county, Kenya, March 17, 2021. Picture taken March 17, 2021. REUTERS/Monicah Mwangi

In March, Apollo Agriculture – a tech company based in Nairobi that helps small-scale farmers maximize profits – closed its Series B equity funding round, having raised $40m. In total, the company has raised $52.5m and received $16m in debt – making it one of the highest funded agritech startups in Kenya.

Four months earlier, another major startup in the same sector, Twiga Foods – which uses technology to build supply chains in food and retail distribution – raised $50m in its latest funding round. In total, the company has raised more than $100m in debt and equity, having raised $30m in its series B round in 2019. The startup’s founders, Grant Brooke and Peter Njonjo have plans to expand into the rest of the continent.