Chowdeck funding of $9m spearheads $93m raised by 33 African startups in August, signaling steady growth in the continent’s tech ecosystem
Chowdeck funding took center stage in August as the Nigerian on-demand delivery platform helped drive a $93 million fundraising haul by 33 African startups, despite a quieter month for the continent’s tech ecosystem.
Also read: Chowdeck secures $9M Series A funding to accelerate rapid commerce expansion
The Series A round of $9 million, led by Novastar Ventures and backed by notable investors including Y Combinator and Rebel Fund, will fuel Chowdeck’s quick commerce strategy and expansion into more cities across Nigeria and Ghana.
According to the latest report from Africa: The Big Deal, August was the second quietest month for startup funding this year, trailing only March.
However, the $93 million raised surpassed last August’s figures and matched funding levels from the same month in 2023 and 2024.
Max Giacomelli, the report’s author, expressed optimism: “While activity was relatively low compared to July’s boom, the numbers to date suggest a strong year for African startups. The ecosystem could well exceed $2 billion in funding raised for 2025, possibly nearing $3 billion if major deals materialize.”
Among other major funding rounds last month were Koolboks with $11 million, Hewatele’s $10.5 million, Breadfast’s $10 million Series B2, and Ampersand’s sizable new round.
Sector-wise, funding was well-distributed, with at least five sectors each securing over 10 percent of the total.
The bulk of investment flowed into startups based in Egypt, Kenya, and Nigeria, which together accounted for 75 percent of the total capital raised.
The report also highlighted several exits, including Nedbank’s $93 million acquisition of South Africa’s iKhokha.
So far in 2025, African startups have amassed $2 billion in funding, with $1 billion in equity alone—marking a hopeful turnaround after two years of decline.
Also read: Nigeria’s food delivery sector experiences explosive growth, billions generated for local businesses
Chowdeck’s success underscores growing investor confidence in Nigeria’s tech space and signals promising times ahead for quick commerce and delivery startups across Africa.
Source: Read more at punchng.com
Peculiar Adirika is a journalist and contributor to Freelanews.com, covering news, business, and public affairs.
