Rentoza’s growth potential backed by Alitheia IDF with $5m investment
- September 26, 2023
- 8:49 am
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Alitheia IDF (“AIF”) is a women-led and women-focused private equity fund co-managed by IDF Capital in Johannesburg, South Africa, and Alitheia Capital in Lagos, Nigeria, focused on growing businesses and building African communities. Over the years, AIF has invested in many businesses across the African continent, such as Sweep South and Jetstream.
Aviraag Ramdhani, Chief Commercial and Investment Officer at Rentoza, expressed the significance of this investment, stating,
“This is a testament to the impact of our vision. We are honoured to have gained the trust and support of an experienced venture capital team with a proven track record in high-growth technology businesses across Africa.”
Speaking about what IDF Capital saw in Rentoza to secure the funding, Pyi Maung, Investment Manager at IDF Capital says, “We saw a strong and complimentary team of founders who have managed to scale the business efficiently with every capital raise. AIF understood the need for Rentoza’s offering in the South African market and how it has positively impacted people’s lives, especially women.”
Ramdhani adds that this strategic collaboration with AIF will bolster Rentoza’s corporate governance, making the organisation even more attractive to global investors and partners. The company will gain access to additional pools of local and international capital, fuelling its continued commitment to innovation, economic inclusion, and gender diversity.
“With this capital injection, we aim to propel our growth trajectory and allocate resources to crucial areas of the business. The funds will be deployed for asset purchases, marketing campaigns, talent acquisition, and capital projects, including the highly anticipated pan-African expansion,” Ramdhani says.
He adds Rentoza has also partnered with a street-smart VC with tremendous practical experience in scaling businesses across the continent, which will greatly benefit the company’s growth. “We are also now exposed to active investors who provide practical advice based on both experience and expertise across the continent.”
Equally significant, Ramdhani says this investment reflects the growing interest of foreign investors in South Africa’s thriving technology sector. “South Africa has a vibrant tech ecosystem renowned for its innovation and scalability. Our companies adhere to global corporate governance and transparency best practices, making the tech sector increasingly attractive to foreign investors. We anticipate foreign investment in SA tech will outpace any other sector in the country.”
Echoing Ramdhani’s sentiment’s Maung says AIF views South Africa as a market full of opportunities, particularly in the SME landscape. “We believe that a company with the right product-market fit like a Rentoza is primed for growth and that is where we see AIF’s funding come in. We look to play a key role in building this business in South Africa to help our people and you, the founders, to reach new heights.”
Offering advice to other tech companies seeking similar funding, Ramdhani emphasised the importance of perseverance, authenticity, transparency, and inclusivity. He recommended researching the market to identify compatible funders, networking extensively, and building relationships with potential investors.
Ramdhani says the support of an investor like AIF has poised Rentoza for continued success, driving innovation, economic growth, and transformative change in South Africa and beyond. For him, this is only the beginning.
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