Phatisa raises US$86M to back Africa’s agribusiness value chain
The Mauritius-based fund manager has secured $86 million in the first close of its third food fund.
MAURITIUS – Phatisa has raised US$86 million in the first close of its third agribusiness-focused private equity fund, marking a fresh push to finance companies across Africa’s food value chain.
The Mauritius-based firm announced on February 9, 2026, that Phatisa Food Fund 3 will target up to $300 million within the next twelve months from institutional investors and development finance institutions.
The fund will channel capital into businesses that support food production, processing and distribution across the continent.
Development finance institutions backed the first close, including British International Investment, FinDev Canada, Norfund, Swedfund and the International Finance Corporation.
Focus on the food value chain
Phatisa Food Fund 3 will invest across the food value chain, except for primary farming. The fund will support companies that supply seeds, crop protection products, fertilizers and agricultural technologies.
It will also finance businesses involved in processing, cold chain, storage, logistics, distribution and retail, as well as services linked to food production and marketing.
Phatisa said Africa continues to rely heavily on food imports, with spending estimated at $43 billion (US$43 billion) each year. The firm expects that figure to reach $110 billion (US$110 billion) by 2030.
Post-harvest losses, weak supply chains and limited access to finance for small and medium-sized enterprises continue to slow growth in the sector.
In a statement, the firm said the new fund aims to help address these gaps and strengthen local food systems.
First deal signed
Phatisa has already signed its first investment agreement under the new fund with the Zaad Group, a platform that focuses on seeds and crop protection products in Africa.
The launch of Phatisa Food Fund 3 builds on the firm’s earlier funds. The first fund is nearing completion, while the second fund has returned about 40 percent of invested capital following recent exits. The company said it still holds a diverse portfolio of assets that provide a strong base for future investments.
With fresh capital secured and a first deal in place, Phatisa now turns its attention to raising the remaining funds and expanding its footprint in Africa’s agribusiness sector.
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