4Di Capital has announced that Convergence Partners will join as the newest investor in 4Di Capital Fund, as an equal limited partner alongside Reinet Fund S.C.A., F.I.S., and E. Oppenheimer & Son.
“We are delighted to welcome the addition of Convergence Partners to our investor base. We both believe in the opportunity offered by the emerging South African technology start-up ecosystem. Leveraging the accomplished capabilities of such highly regarded investors with our team’s dynamic and unique approach is a powerful combination for unlocking South African entrepreneurial talent in an increasingly globally integrated technology market place.
“This vote of confidence from a leading local investor comes at a time when it is challenging to raise capital for this asset class globally, particularly in South Africa,” says Justin Stanford, a founding partner of 4Di Capital and co-founder of the Silicon Cape Initiative.
As a result of the investment, 4Di Capital’s assets under management will double, as the firm will also take over Convergence Partners’ current portfolio of technology venture investments in the form of Integrat, Bloodhound Technologies and Skillpod Media.
“Historically, we have focused on ICT investments across the full spectrum from smaller early stage companies through to large multinationals and infrastructure projects,” says Brandon Doyle, CEO of Convergence Partners.
“With the successful launch late last year of the Convergence Partners Communications Infrastructure Fund, our focus has increasingly been shifting to big ticket pan-African ICT investments that accelerate digital access and development across the continent. The partnership with 4Di will allow us to channel our efforts through experienced experts who will also take over management of our existing VC interests.”
“We have spent many years assessing the global VC environment and have built a deep understanding of the ecosystem and key players involved,” Andile Ngcaba, chairman of Convergence Partners, continues.
“We were thus looking for partners who have themselves started up successful early stage tech ventures and, importantly, who have built a strong bridge into the global VC market, particularly in the US We believe this transaction aligns us with an experienced and passionate management team as well as other investors who support South African technology innovation.”
Laurie Olivier, US-based partner of 4Di Capital, comments: “We couldn’t think of better partners to add to our already stellar investor base than Andile Ngcaba and his team, who have the vision and deep technological understanding to get behind our ideas, and who share our values of partnership and collaboration.
“The alliance between Convergence Partners, a well-respected pan-African ICT investment manager, and the highly entrepreneurial 4Di team with its emerging market orientation and solid global beachhead, represents a unique blend of diverse networks and seasoned value-adding experience.”
