ThriveAgric, a technology-driven agricultural company, secured $56.4 million in debt funding from commercial banks and institutional investors. Additionally, the company received a $1.75million co-investment grant from West Africa Trade & Investment, which is funded by USAID.
As a result of the new investment, the company will be able to expand its 200,000+ farmer base, as well as enter new markets in Africa, including Ghana, Zambia, and Kenya.
By accessing credit and improving productivity and sales, ThriveAgric promotes food security by helping farmers in Nigeria sell their products to FMCGs and food processors. The company was founded in 2017 and has been operational since 2018.
Technology’s Agricultural Operating System (AOS) runs entirely off-line, sends USSD SMS to farmers, and creates Android apps that field agents can use to collect farm data and identify creditworthy farmers.
The company raised $9 million in 2020. ThriveAgric’s revenues have increased fivefold in the past year, and its farmer numbers are up 277% year over year. As a result of using the AOS proprietary product, farmers achieved strong margins.
By providing smallholder farmers with high-quality grains, the company supports Africa’s agriculture sector. A number of the company’s 450+ warehouses, which are located in Bauchi, Jigawa, Kaduna, Kano, and Katsina states in Nigeria, are used to store harvests before they are commoditized and offered to local and global markets at a premium price.
Announcing the new investment, Chief Executive Officer Uka Eje said, “With this investment, we will be one step closer to our mission of building the largest network of profitable African farmers using technology to ensure food security in Africa.” With this new investment, we believe that even more smallholders will benefit financially.
We experienced temporary payment disruptions to our retail crowdfunders despite a volatile backdrop caused by the global pandemic over the past few years. Despite these challenges, we maintained company profitability within a year. Investors’ confidence in ThriveAgric is evident by our strong financial results.
“In addition to our mission of linking African farmers to capital, data-driven best practices, and local and global markets for their commodities, we are delighted to see the market overwhelmingly backing us. ThriveAgric has increased its footprint in Nigeria to 20 states, and we look forward to continued growth for years to come..”
ThriveAgric assists farmers in charging premium rates for their commodities, allowing them to increase their income by up to 25%