Safaricom shareholders have approved the creation of two new subsidiaries during the company’s 15th Annual General Meeting (AGM). The move is set to invigorate the tech ecosystem by bolstering investments in both seed-stage and growth-stage start-ups.
One of the approved subsidiaries will be a company limited by guarantee dedicated to investing in seed-stage start-ups. This new entity builds on the existing Spark Fund, an investment initiative governed by a Board of Trustees under Safaricom PLC. The Spark Fund aims to empower and nurture seed-stage start-ups across Kenya, and the incorporation of a new company is expected to streamline administrative processes and enhance governance.
Among the notable investments within the Spark Fund portfolio are Shupavu 291 by Eneza Education, which provides mobile-web learning for primary and secondary school students. Additionally, iProcure offers an agricultural supply chain platform in rural Africa, while Sendy focuses on building fulfillment infrastructure for e-commerce and consumer brands. Ajua, Africa’s first Integrated Customer Experience company, and Soko Fresh, providing access to cold chain infrastructure for Digifarm farmers, are also part of the portfolio.
The second subsidiary will function as a new private limited liability company with a mandate to invest in mature, strategically aligned entities. These investments will aid Safaricom in accelerating its mission to transition into a tech company by 2025. Moreover, this new entity will serve as the primary investment vehicle for all strategic investments undertaken by Safaricom PLC.
ALSO READ; Safaricom’s Spark Fund Dedicates Ksh 540m to Grow Local Startups
