Private capital investment in Africa reached $2.27 billion in Q3 2024, with equity emerging as the dominant financing choice, according to the Stears Private Capital in Africa Report Of the 73 private market deals recorded, 75% included an equity component, and 71% were strictly equity-based, compared to only 19% relying on debt. Consumer goods and technology were key sectors driving equity investments, accounting for 86% and 90% of deals, respectively.
Debt financing, however, saw its strongest focus in agriculture and energy, making up 79% of recorded debt deals. A notable exception in the technology sector was Terrapay’s $95 million loan package to expand African operations, highlighting the growing interest in digital infrastructure development across the continent.
Regional trends showed North Africa leading in equity-inclusive deals (86%), while Southern Africa recorded the highest proportion of equity-only transactions (79%). The report underscores equity’s increasing preference in private investments, reflecting confidence in Africa’s burgeoning consumer and technology markets.
