“THERE is strong demand for quality capital to support emerging business in South Africa, with the deployment of early- and growth-stage capital,” says Clive Butkow.
Butkow has close to 40 years’ experience building technology businesses locally and internationally.
He and business partner Mitchan Adams, are the founders of Conducive Capital, a newly formed, majority black-owned, South African venture capital company investing in early- and growth- stage disruptive technologies that are post-revenue, capital efficient, good unit economics with product market fit, and have the ability to scale their businesses worldwide.
On Tuesday morning, both partners held an intimate media brief, to engage with press, investors and tech companies on the why’s, do’ and don’ts investing in Conducive Capital.
They’ve invested a combined R300m in early stage funding with an internal rate of return (IRR) of more than 30% during the last seven years’.
The fund aims to raise its first close in July 2024 at US$15 million (approx. R300 million) with a target final close of $50 million (approx. R1 billion) within 24 months.
According to Butkow: “There is strong demand for quality capital to support emerging business in South Africa, with the deployment of early- and growth-stage capital, and we are plugged into networks that can open doors to international ecosystem players and mentors, as well as local and global investors for follow-on funding.”
Investors would be drawn from tech companies, health, and more so, women organisations.
Says Adams:” The fund seeks to improve diversity in the early and growth stage investment sector, as well as develop the next generation of black women venture capitalists.”
“We need women in this space in particular black,” agrees Butkow, who believes ‘part of our reason for existence is to share knowledge and pass the baton to the next generation’.
Other African States such as Nigeria, Ghana and Kenya will be targeted as part of expansion, whose motto is ‘shaping the future of our technology’.
“We have identified a number of major industries and technologies that we believe are building the foundation for empowering corporations and individuals in South Africa, and Africa, to create meaningful and sustainable solutions, and improve millions of lives,” continued Butkow, a very convincing character who enjoys talking big numbers.
The Conducive Capital founding partners Butkow, founder and former CEO of Kalon Venture Partner, and Adams, co-founder of Ozow, a leading South African fintech company, and current CEO of Aions.
Prior to Butkow role at Kalon, he was the COO of Accenture South Africa.
As for the logo- wasabi- it’s a rare and precious nature plant, known for its distinctive flavour profile.
It’s found in Japan, Russia and South Korea.
Image (Mitchan Adams, partner at Conducive Capital, recorded addressing guests at the media launch held at Bompas Hotel on Tuesday).
