Two South African firms, Newtown Partners and LionPride Investment Holding, have come together to announce the launch of a new ZAR500 million ($37.4m) Section 12J tech investment fund. Dubbed the LionPride Agility fund, the money will be channeled to fund impactful startups dealing with cutting edge technology.
This new investment vehicle enables investors to invests into joint two pools co-managed by LionPride and Newtown Partners. At the same time get a front row seat to early-stage tech startups within the South African market.
There is also another great advantage with the 12J investment fund for the investors. They can actually deduct 100% of their investment from their taxable income for the tax year in which they made the investment.
“We believe that we’re taking a bold approach that will catapult economic transformation in South Africa. The tax-deductible ‘discount’ that a section 12J Fund provides is a great incentive for investors to invest in project of a developmental nature that can positively impact employment in South Africa,” said Deven Govender, the CEO of LionPride.
The LionPride Agility VCC Fund will be looking for SMEs within the following industries: agri-tech, fintech, …read more