Platform Capital launches in SA to help grow the local SMME sector

Platform Capital says its “entry into South Africa is strategic because it recognises that small businesses are the workhorses of the South African economy, employing between 50 and 60 percent of its workforce while contributing about 34% of its GDP”.

The move is in line with the company’s commitment to deploying patient, value accretive capital alongside international and local value investors to create champion businesses with the potential for regional and global scale.

Platform Capital South Africa is a subsidiary of Platform Capital Mauritius, an investment and advisory firm with offices in the UK, USA, Nigeria, Ghana, Kenya as well as Mexico with over 400 employees working across the firm boasting over 160 direct and indirect investments. The South Africa subsidiary was established in 2021 and has invested in over five companies across various sectors.

Helping SA SMMEs grow

The company aims to grow and expand South African businesses by empowering and providing entrepreneurs with the required support to identify and build sustainable and competitive companies that will contribute to the economic growth of Africa.

Through Platform Capital, entrepreneurs with compelling business ideas will have a home to incubate and develop ideas to a level where the startup will be able to access the right capital and in turn get connected to the global partners that will help scale their businesses. Platform Capital will look to invest in 20 companies every year and expects that most of them will become listed entities.

Platform Capital chairman Dr Akintoye Akindele commented: “We are excited to officially launch our operations in South Africa after successful operations in other regions and see a great opportunity to invest in, and further provide the right type of capital structure to help local businesses achieve their goals.

“If you look at the statistics, the rest of Africa is making giant strides to move forward with micro and small businesses, but South Africa is lagging.”

Platform Capital South Africa also announced five new board members – Lerato Molebatsi, Samantha Petersen, Dr Kolapo Omidire, Prishani Satyapal (all non-executive directors) and Adeola Ajibade (regional partner).