African Startups Raised Over $250 Million in May as Egypt Leads The Investment Wave

Start-ups across Africa collectively raised over $254 million in May 2025, a strong rebound from the sluggish performance recorded in March.

Recall that despite a promising January, the counterperformance in March dragged the numbers down significantly, as start-ups raised $460 million in Q1 2025.

The funds raised in May, while not a record-breaking month, helped push total fundraising for the year to over $1 billion, a significant 40% increase from the $750 million recorded during the same period in 2024.

Over the past 12 months (June 2024–May 2025), African start-ups have attracted $2.5 billion in funding, the highest 12-month tally since early 2023 reflecting growing investor confidence across the continent.

A total of 36 start-ups raised more than $100,000 in May (excluding exits), slightly fewer than in previous months, but this was offset by higher median deal sizes. Notably, seven ventures raised over $10 million, led by Egypt’s Nawy, which secured a landmark $75 million—a mix of $52 million in Series A funding led by Partech and $23 million in debt—making it Africa’s largest-ever prop-tech deal.

Egyptian start-ups dominated the top-tier funding deals in May:

Tasaheel (part of MNT-Halan) issued a $50 million corporate bond, Egypt’s largest to date. This bond issuance is the largest corporate bond in Egypt’s history. The bond, rated BBB+ by MERIS, is structured in two tranches. The issuance is a strategic step for MNT-Halan to diversify its funding channels and support its next phase of expansion.

Valu secured $27 million from Saudi investors ahead of a planned IPO. This capital injection is expected to strengthen Valu’s financial position and support its expansion plans, particularly its recent Egyptian exchange listing approval, The company is a prominent player in Egypt’s consumer finance sector, known for its buy now, pay later (BNPL) services. 

Cairo-based investment platform Thndr raised $15 million+ in a growth round. The startup aims to democratize investing in the Middle East and North Africa (MENA) region.

Mobility-focused Sylndr completed a $15 million Series A. The funding will be used to accelerate Sylndr’s expansion across Egypt, enhance its pricing intelligence, inventory, and fintech capabilities, and strengthen partnerships with dealers, lenders, and service providers.

Money Fellows closed a $13 million pre-Series C to expand internationally. This funding round, co-led by Al Mada Ventures and DPI’s Nclude Fund, aims to take its digital savings platform outside of Egypt.

The only non-Egyptian outlier in the $10m+ club was South African healthtech AURA, which raised $15 million in Series B funding, co-led by Partech and CAIF, to support its expansion into the US.

In terms of country rankings for startup funding in 2025 (excluding exits):

Egypt leads with 31% ($330m+) of total funding, followed by South Africa (26%), Nigeria (15%), and Kenya (12%).

May also saw four notable exits, three of which involved Egyptian companies:

Fatura was acquired by MaxAB-Wasoko, Miran and Welnes merged, and Qardy was acquired via Egypt’s first-ever SPAC merger, valued at an estimated $23 million through Catalyst Partners Middle East.

In West Africa, BioLite acquired a majority stake in energy access company Baobab+, rounding out a dynamic month of M&A and investment activity on the continent. This strategic divestment would enable Baobab+ to leverage BioLite’s technological expertise and operational strengths, accelerating innovation and sustainable growth in renewable energy solutions across Africa.

The upward funds momentum suggests Africa’s startup ecosystem is not only recovering but poised for a record-setting year, with Egypt at the forefront of the continent’s innovation and funding renaissance.