Knife Capital is launching KNF Ventures Fund 2 and working on ways to plug the Series-B funding gap that exists in SA where there are limited local investors that lead or participate in larger Series-B VC investment rounds.
Knife Capital has also extended the close of its Knife Ventures 1 to allow more investors participate in the funding and make a positive impact on innovation, job creation and growth in South Africa.
On why Knife Capital is extending its R180m Venture Capital Fund KNF Ventures to allow new investors to participate and build on the success and momentum created. Keet van Zyl, Partner at Knife Capital said: “Based on the success of KNF Ventures so far, which is just about fully deployed and where our portfolio companies are growing in excess of 50% year-on-year, we are extending the Fund for further investment.”
Van Zyl highlights that for them it’s more than the tax break to them. Knife Capital aims to leverage Knowledge, Networks & Funding to accelerate the growth of South African innovation-driven SMEs and generate enhanced returns for entrepreneurial-minded investors.
“We have an amazing investor base of just over 100 private investors and institutions – including the SA SME Fund – that we are extremely proud of. So, there needs to be a mutual fit on investment philosophy and values”. Over and above the financial benefits, KNF also already created 54 jobs within its 12J portfolio – and counting.
Knife Capital takes a holistic ‘Find-Make-Grow-Realise’ value-chain approach when investing by finding exciting SMEs, making the investment with fair terms after thorough due diligence and actively growing the businesses to ultimately realise sustainability and/or exit goals.
New investors in KNF will be able to participate in the further upside of the portfolio investments already made, which currently consists of the following high-growth businesses:
Quicket – Cloud-based ticketing platform for any size event.
DataProphet – AI/ Machine Learning for the autonomous manufacturing industry.
PharmaScout – IoT temperature monitoring solutions for the pharmaceutical industry.
Pura – Carbonated beverage brand with low sugar and natural flavour innovation.
Cradle Technologies – SaaS Warehouse Management Solutions for SMEs.
Snapplify – EdTech company enabling digital learning through an educational content marketplace.