Chaka, a SEC-Licensed Digital Sub-broker and digital investment platform, has raised $1.5M in a pre-seed funding round to enable borderless investments across Africa and deliver digital investments solutions for African businesses.
According to Tosin Osibodu, Co-founder & CEO, Chaka Technologies said “This is indeed a significant milestone for us at Chaka. We see digital investments as an opportunity to boost economic transformation in Africa, and our goal is to use this funding to bring this vision to life. With this capital, we will focus on our goals to build a roster of formidable partners and accelerate our expansion to other markets within Africa. This investment also enables us to hire top talent and integrate more advanced functionalities into our investment and wealth management solutions for businesses.”
“Our mission remains the same and we are excited to be backed by VCs like Breyer Capital that trust us and are extremely optimistic of the possibilities that exist for Chaka and Africa.” He added.
Chaka will also use the funds to expand its footprints in West Africa to reach more retail investors and attract more foreign players to African Capital Markets and sign up partnerships with asset managers, financial technology firms, and regulators.
The funding round was led by Breyer Capital, a global VC and PE firm with investments in high-impact tech companies like Spotify and Facebook. Other participants in the round are 4DX Ventures, Golden Palm Investments, Future Africa, Seedstars, and Musha Ventures.
“We are proud to combine efforts with a company that is levelling the investment playing field for Nigerians (and Africans at large). We’re confident in the value Chaka provides through its digital tools, and we look forward to playing our part in supporting Chaka’s team on their mission to drive borderless investments in Africa,” said Jim Breyer, CEO of Breyer Capital.
This pre-seed round comes on the heels of the Chaka becoming the first start-up to acquire the new digital sub-broker license issued by the Nigeria’s Securities and Exchange Commission (SEC), in line with the regulator’s efforts to safeguard the investing public and accelerate innovation within the sector.
Since Chaka’s launch in 2019, the platform has levelled the barriers of entry for borderless investments in Nigeria by providing customers with compliant access to the capital market. Chaka’s bouquet of products includes a stock trading app for retail investors, Chaka SDK which enables asset managers and financial institutions to offer digital investments to their customers; and Chaka for Business which enables direct business onboarding and provides powerful trading tools for institutional investors.