General News
Global Venture Capital Investment Fell by 30% to $73B in Q3 2023 -Report

Venture capital investment fell sharply in the third quarter of 2023, with global deal value down 30% year-on-year to $73 billion, according to market researcher, PitchBook.

This is the lowest level of quarterly VC investment since the second quarter of 2020 when the COVID-19 pandemic first hit.
The decline in VC investment is being driven by several factors, including rising interest rates, inflation, and the ongoing war in Ukraine.
These factors are making investors more cautious about investing in risky assets like startups.
According to a report from the Financial Times, Venture capitalists have dramatically scaled back activity this year, investing just $73 billion in the third quarter across the world. That is down from $106 billion during the same period last year, according to market researcher PitchBook.
At the same time, the number of venture-backed start-ups that sell to private equity groups has grown to 24% of total exits over the past couple of years, tripling the proportion of such deals from 2006 to 2010, according to data from the European tech corporate finance advisory Clipperton.
However, even as pressure mounts on start-ups to sell, deals are stalling as VCs squabble over whether to cash out, according to Scott Driggs, who covers private equity at Jefferies.
“Once the door closes and you crystallize those losses there’s no going back,” he said Driggs.
The expectation of investors: Investors expect that the demand for such buyouts will rise as the slowdown persists and more companies face a potential cash crunch.
“In 2024 we will see a lot more demand for our capital because, on the one hand, entrepreneurs are going to be faced with an option; Should I sell this company for scrap, or should I shut down?” Resurge’s Malinger said. “Or can we provide an alternative option for this company?”
The report said that in the years running up to 2022, VCs took minority stakes in new businesses with growth potential even if they lacked a quick path to profitability.
Steep rises in interest rates over the past year have changed that, hammering private valuations, forcing VCs to pull back, and leaving a swath of start-ups at risk of collapse.
New investment groups are raising tens of millions of dollars in funding to acquire majority ownership and operational control of start-ups to turn the businesses around.
While still in an early phase, the trend is a further sign of the difficulty many companies face as traditional venture investment chills.
In one example, investors Oren Peleg and Eyal Malinger started UK-based Resurge Growth Partners this year to raise €120 million to buy start-ups.
The veteran investors, who have previously worked at companies including Howard Marks’s Oaktree Capital Management and VC firm Beringea, say they have spotted a gap in the market and plan to make average investments ranging from €10 million to €30 million.
Resurge Growth will acquire start-ups to provide a turnaround, either because a previous valuation was too high and did not reflect the new market reality, or because operational changes are required.
“There’s a real opportunity here to play a very important role, which is to help companies transition from venture ownership to private equity ownership,” Peleg said. “No one is willing to send the hard message of saying this needs a reset, and that will be the role that we play.”
Other investors, such as Matthew Bradley, are also leaving venture capital to pursue start-up takeovers. Bradley, formerly chief investment officer at London-listed VC firm Forward Partners, launched Tiktok Capital last year to buy up start-ups.
Another firm, San Francisco-based Arising Ventures, has been looking to buy up start-ups with viable business models but slowing growth since its founding in 2020. Chief executive Kjerstin Erickson said that in the past year, the number of potential deals has grown fivefold.
Opportunities came up when “the company has raised more money than they are worth in the market”, she said. “We’ll do the deal if we think there’s a real business underneath.”
This year the group which is structured as a holding company rather than a fund took out a billboard in the heart of San Francisco with the slogan: “We invest in second chances.”
General News
Identy.io Targets Nigeria, Kenya in Its Africa Expansion Strategy

Nigeria and Kenya are the next target markets for Identy.io, a global provider of digital identities, as it expands into Africa. Facial, fingerprint, and palm identification are among the safe, mobile biometrics that the company specialises in.

According to Indenty.io, its platform runs locally on smartphones, eliminating cloud storage while maintaining security and privacy.
It goes to say this is achieved by leveraging standard smartphones for fingerprint and face scans, the company aims to bridge the continent’s digital divide, where a significant number of adults still lack basic identification.
To spearhead this rollout, the firm has appointed a specialised regional leadership team, including industry veterans from Nigeria’s Bank Verification Number programme, to integrate their automated Biometric Identification System into national digital public infrastructure.
The company says the significance of this move lies in the departure from traditional, “clunky” biometric models.
Historically, digital ID enrollment in Sub-Saharan Africa has been throttled by the high cost of specialised scanners and the logistical nightmare of deploying them to rural areas.
Identy.io notes that its approach shifts the heavy lifting to mobile software.
Identy.io is positioning itself to capture a market the World Bank’s Identification for Development initiative identifies as critical for financial inclusion.
If successful, this could accelerate government-to-person payments and healthcare access in regions where coverage currently sits below 70%.
“We are transforming the traditional industry model, which often relies on expensive and inflexible digital infrastructure,” says Antony Vendhan, Co-founder of Identy.io. “This allows our clients to reach underserved communities by providing individuals with multimodal access to secure their digital identities.”
The company will face established players like IDEMIA and Thales, who have long dominated government contracts.
Furthermore, Identy.io will face competition from up-and-coming regional fintech identity firms such as Smile ID, which already has a significant presence in Know Your Customer services throughout Africa.
To gain an edge, Identy.io has aligned itself with Modular Open Source Identity Platform (MOSIP).
By being listed on the MOSIP marketplace, the company says its tech becomes “plug-and-play” for governments building open-source national ID systems, a growing trend among nations wary of “vendor lock-in.”
While the primary focus remains on Nigeria and Kenya, Identy.io’s long-term roadmap includes a phased rollout to other emerging markets.
General News
Russia Blocks WhatsApp, Pushes State App Max as Alternative Amid Telegram Clampdown

Russia has confirmed the blocking of popular messaging platform WhatsApp, directing its citizens to switch to the state-backed Max messenger, in a move escalating restrictions on foreign digital services.

Russia
The decision, announced by Kremlin spokesperson Dmitry Peskov on Thursday, stems from WhatsApp’s parent company Meta’s alleged failure to comply with Russian laws, though specifics were not disclosed. This action follows days after authorities intensified curbs on Telegram, another widely used app among millions, including military personnel, officials and state media.
Peskov described Max as “an affordable alternative on the market for citizens, a developing national messenger,” emphasising its role in replacing non-compliant foreign platforms. WhatsApp, owned by Meta—which also operates the already banned Facebook and Instagram—responded sharply, accusing Moscow of attempting a full block to force users onto a “state-owned surveillance app.” The company stated: “Trying to isolate over 100 million users from private and secure communication is a backwards step and can only lead to less safety for people in Russia,” vowing continued efforts to reconnect users.
The block is not isolated. Earlier this week, Roskomnadzor, Russia’s communications regulator, announced further restrictions on Telegram for refusing to remove “criminal and terrorist” content, throttling its performance nationwide. Telegram founder Pavel Durov countered that such pressures would not deter the platform’s commitment to “freedom of speech and privacy.” This builds on prior measures, including August 2025 restrictions on video and voice calls on both WhatsApp and Telegram to combat criminal activity, which WhatsApp then decried as access limits.
Max, developed by VK and launched in beta in March 2025, positions itself as a WeChat-like super-app with messaging, voice/video calls, group chats up to 1,000 users, cloud storage, end-to-end encryption for private chats, payments via Russia’s Faster Payment System, and integrations for government services and identity verification. Since September 2025, it has been pre-installed on all new smartphones, tablets and smart TVs sold in Russia, alongside the RuStore app store, as part of a broader “sovereign internet” strategy to monitor communications and replace Western tech amid geopolitical tensions.
Users report partial WhatsApp access via VPNs, but Russian authorities have ramped up countermeasures, restricting 439 VPN providers and enacting a September 2025 law banning ads for bypass tools while deeming VPN use an “aggravating circumstance” in crimes. Fines for individuals deliberately accessing blocked content via VPNs reach 5,000 rubles (about $64). Critics warn these steps enhance state surveillance, while state media insists Max requires fewer user data permissions than rivals.
The clampdown reflects Moscow’s long-running push for digital control, with over 60 percent of VPN users previously accessing banned social media. As Russia promotes domestic alternatives, the moves could reshape communication for its 100 million-plus messaging users, raising global concerns over privacy and internet freedom.
General News
Nigeria Market Powers Jumia’s Momentum as E-commerce Platform Demand Accelerates

Nigeria powered Jumia Technologies AG’s strongest growth in 2025, cementing its position as the company’s most important market as rising consumer demand, SME activity and logistics expansion boosted performance across the e-commerce platform.

In the fourth quarter of 2025, Jumia’s Nigeria operations recorded a 50% year-on-year increase in Gross Merchandise Value (GMV) and a 33% rise in orders. The performance highlighted growing adoption of online shopping and Jumia’s increasing relevance to African consumers.
Nigeria’s momentum helped drive 36% year-on-year GMV growth and 34% revenue growth across the group in the quarter, alongside a 26% increase in quarterly active customers. Growth was supported by stronger customer retention and higher order frequency.
Beyond sales growth, Jumia said its Nigeria operations are delivering wider economic impact. The platform supports thousands of local SMEs, enabling them to reach customers nationwide, while continued investment in fulfilment centres and last-mile delivery is creating income opportunities for logistics partners and sales agents.
Efficiency gains were also evident. Fulfilment costs per order declined 12% year-on-year, contributing to a 39% reduction in operating losses and a 47% drop in adjusted EBITDA losses in the fourth quarter. Cash used in operating activities fell sharply to $1.7 million, compared with $26.5 million a year earlier, while liquidity stood at $77.8 million at year-end.
Temidayo Ojo, Chief Executive Officer of Jumia Nigeria, said the results reflect growing trust from consumers and businesses. “Nigeria is central to Jumia’s growth,” Ojo said. “Each order supports local sellers, delivery partners and jobs, while improving access to affordable products for consumers.”
For the full year, Jumia reported 14% GMV growth and 13% revenue growth, with losses narrowing significantly. Looking ahead, the company expects Nigeria to remain a key growth driver as it targets 27–32% GMV growth in 2026 and aims to reach adjusted EBITDA breakeven by the fourth quarter of 2026.
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