Accion, a US-based non-profit organisation focusing on financial inclusion, has quadrupled the size of its seed-stage investment initiative, adding $33m from investors also including payment services firm Visa and insurance group Prudential.
Accion Venture Lab has launched a $23m co-investment vehicle backed by third-party investors and has separately received a $10m investment from Accion. It had launched in 2012 with $10m of capital.
The $23m fund was backed by Visa, Prudential, development bank FMO, Ford Foundation, ImpactAssets Giving Fund of Blue Haven Initiative, Heifer Foundation, MetLife Foundation, Open Society Foundations, Pace Able Foundation, Proparco and Stichting Hivos-Triodos Fund, co-founded by banking firm Triodos.
Accion Venture Lab claims that its portfolio companies have raised an additional $13 in equity capital from later-stage investors for every dollar it has invested itself.
Tahira Dosani, managing director of Accion Venture Lab, said: “Capital must be paired with strategic and operational support that is informed by a deep knowledge of the sector, target customer, and a deliberate focus on how new technologies can help the underserved build better lives. We can accelerate the growth trajectories of companies through our capital-plus approach to investing.”
