ThriveAgric, a Nigerian agri-tech firm, has secured $56.4 million in debt financing from local commercial banks and institutional investors to expand its 200,000-strong farmer base and enter new African markets such as Ghana, Zambia, and Kenya.
The debt financing also includes a $1.75 million co-investment grant from the USAID-funded West Africa Trade & Investment, which will be utilized to expand the company’s user base and enter new markets across Africa.
ThriveAgric, which was founded in 2017 and has been fully operating since 2018, helps Nigerian farmers to sell their products to FMCGs and food processors by leveraging its patented technology to gain access to funding, boost production, and increase sales to enhance food security.
The technology, which is an agricultural operating system, is completely offline, sends USSD messages to farmers, and powers Android apps that allow field agents digitally collect creditworthy farmers and acquire vital farm data.
“With this new investment, we are one step closer to achieving our goal of establishing the greatest network of prosperous African farmers employing technology to secure food security in Africa.” “We have renewed optimism in the future, knowing that this fresh investment will benefit our smallholder farmers even more financially,” stated CEO Uka Eje.
ThriveAgric’s revenues have surged fivefold in the last year, with farmer numbers increasing by 277 percent year over year.
This is a significant comeback for the company, which was forced to restructure its management team in late 2020 as it attempted to turn around the business after failing to pay subscribers on time due to a decline triggered by the COVID-19 pandemic.