(Ecofin Agency) - Chaka, a Nigerian technology solutions company on a mission to enable every business and person in Africa to access borderless digital investment and wealth management opportunities, has today closed a $1.5 million pre-seed funding round. The round was led by Breyer Capital with participation from 4DX Ventures, Golden Palm Investments, Future Africa, Seedstars, and Musha Ventures.
With the capital raised, the investment platform will focus on building a roster of formidable partners as well as speed up its expansion to other West African markets. Also, as priority, the company plans to improve its technology and services while securing partnerships with key financial institutions.
"We are proud to align ourselves with a company that is levelling the investment playing field for Nigerians (and Africans at large). We're confident in the value Chaka provides through its digital tools, and we look forward to playing our part in supporting Tosin, Bo, Olaolu, and the Chaka team," Said Jim Breyer, CEO of Breyer Capital.
Before this pre-seed round, Chaka Technologies had raised a total of $30,000 in funding over three rounds, with their latest funding raised on Oct 6, 2020. Since then, the company was barred by Nigeria’s Securities and Exchange Commission (SEC) from offering its services in the country. The barring was a consequence of investment firms - including brokerage firms operating “outside the regulatory purview of the Commission and without requisite registration, as stipulated by the Investment and Securities Act 2007.”
After several months of uncertainty regarding regulations with the Nigeria’s Securities and Exchange Commission (SEC), Chaka last month becomes the first investment platform to received a license from the SEC to operate its digital platform for buying and selling stocks in Nigeria.