After a slow March, Africa’s startup funding scene is picking up pace once again. In May 2025, startups across the continent raised just over $254 million, showing strong signs of recovery. While this figure isn’t record-breaking, it marks a solid rebound that positions May as a significant contributor to what’s shaping up to be a strong year for African tech.
With over $1 billion raised in the first five months of 2025, the continent is already 40% ahead of 2024’s pace ($750 million during the same period). What’s even more impressive is the $2.5 billion raised between June 2024 and May 2025, the highest 12-month total since early last year. For a continent where funding trends are often volatile, this consistency is a clear sign of maturing investor confidence.
Egypt Steals the Spotlight
If there’s one clear winner from May, it’s Egypt. The North African nation accounted for six out of the seven $10 million+ deals announced last month. The standout was Nawy, a proptech startup that raised a massive $75 million — a $52M Series A led by Partech, alongside $23M in debt, making it Africa’s largest-ever proptech deal.
Other major Egyptian deals include:
- Tasaheel (MNT-Halan), finalising $50 million in corporate bonds — Egypt’s largest to date.
- Valu, which has raised $27 million from Saudi investors, has IPO plans underway.
- Thndr, the fintech app, secured over $15 million in new funding.
- Sylndr, a mobility startup, also closed a Series A round of over $15 million.
- Money Fellows, which raised $13 million in a pre-Series C round to support international expansion.
The only exception to Egypt’s dominance was South African healthtech AURA, which raised a $15 million Series B to support U.S. market entry. The round was co-led by Partech and CAIF.
Fewer Deals, Bigger Value
In total, 36 startups raised over $100,000 in May, slightly fewer than in previous months. However, this drop was offset by higher deal values, a sign that funders are doubling down on more mature ventures.
Country Rankings So Far in 2025
As of the end of May:
- Egypt leads the continent with 31% of total funding (~$330M+)
- South Africa follows with 26%
- Nigeria claims 15%
- Kenya rounds out the top four with 12%
Exit Activity Picks Up
There was also movement on the exit front, with four deals announced in May — three from Egypt:
- MaxAB-Wasoko acquiring Fatura
- A merger between Miran and Welnes
- Egypt’s first-ever SPAC deal, with Catalyst Partners ME acquiring Qardy (~$23 million)
In West Africa, BioLite acquired a majority stake in Baobab+, adding to the month’s notable exits.
- Egypt Takes the Lead as African Startups Raise $254m in May - 06/12/2025
- Simplify Your Media Experience with a Smart Video Converter - 05/27/2025
- MaxAB-Wasabi Acquires Fatura - 05/20/2025
