The London Private Investment Funds team advised longstanding client Novastar Ventures on the structuring and fundraising of its latest fund, Novastar Ventures Africa Fund II ("NVAF"). NVAF II raised $108 million (a 35% uplift on Novastar’s maiden fund) with sizable final closings held in the midst of the health pandemic.
NVAF II is backing the next generation of entrepreneurs in Africa addressing proven demand for basic goods and services with innovative business models that widen access, improve quality, and lower cost for the mass market in these emerging economies. The fund targets businesses where positive social impact for low-income households is a natural bi-product of their commercial success.
NVAF II received backing from several of Europe’s most prominent development finance institutions (including the CDC Group, European Investment Bank, Dutch Good Growth Fund and FMO) as well as leading private asset managers such as AXA Impact Fund.
The successful fundraising of NVAF II continues the longstanding relationship between Novastar Ventures and firm’s Private Investment Funds team, who advised on the formation of Novastar’s predecessor fund. Novastar has also worked with Goodwin’s leading venture capital specialists in the U.S. in relation to existing investments.
The Goodwin team was led by Patrick Deasy, working with Laura Charkin and Charlotte Haywood. The European team were supported by firm’s global network of specialist lawyers.