Onome Amuge
For decades, private capital has entered Africa with small investment tickets, short timelines and a focus on quick returns. Billions have been committed, but much of it has delivered limited long-term impact. Infrastructure gaps remain wide, and few industries have been built to scale. KOFISI, a pan-African operator in workspace and hospitality, is trying to change that approach.
The company recently secured $10.5 million in fresh funding from London-based Falco Group, part of a $35 million Series B raise. The capital will finance an expansion that includes a new 100,000 square foot facility in Nairobi and new centres in Kigali, Cairo and other markets.
The deal also signals something larger. KOFISI argues that Africa’s growth story requires a shift from fragmented fund models to backing large operators that have the scale, durability and management experience to drive transformation.
Global investors have often approached Africa through narrow projects. Microfinance programmes, once heralded as a solution to poverty, expanded access to credit but did not build broad-based economic ecosystems. Infrastructure projects, such as small rural roads, improved mobility but often lacked integration into wider development strategies.
Since 2023, fintech has accounted for 80 per cent of all global private capital invested in Africa, according to industry data. Nigeria, Kenya, Egypt and South Africa dominate those inflows. Many of these start-ups have delivered quick returns but have struggled to create long-term value.
Michael Aldridge, KOFISI’s co-founder and chief executive, said Africa requires patient capital aligned with its structural needs. “Africa is the market of the future. To win here, you need patience, partnership and a willingness to bet on transformation. The question isn’t whether to invest but how to do it wisely and how to be part of the story as it unfolds,” he said.
KOFISI’s model rests on the belief that large operators can deliver both financial returns and broader economic benefits. Operators that are deeply embedded in the market, Aldridge said, are better placed to scale businesses, build supply chains and create jobs.
The company has already established 11 centres across six countries, covering nearly 500,000 square feet. It grew revenues by 40 per cent in 2024, supported by expansion in Kenya and Morocco. Its goal is to double its footprint to one million square feet, making it the largest workspace provider on the continent.
Falco Group, a privately held investment business, sees the strategy as a test case for a broader multi-asset investment platform. “Our partnership with KOFISI shows that operator-driven growth can generate both returns and measurable impact,” a Falco executive said.
Other investors are beginning to explore similar strategies. Funds such as Novastar Ventures and TLcom Capital are backing companies with pan-African ambitions in technology, construction and services. The trend reflects a gradual recognition that Africa’s opportunities require scale and cross-border models, not single-country bets.
Industry analysts say operator-led growth could also spark consolidation. Mid-sized companies that cannot meet capital requirements on their own may merge with larger players. The result could be more resilient businesses with stronger governance and the ability to attract long-term institutional capital.
KOFISI is marketing itself not only as a workspace operator but also as a platform for broader transformation. The company partners with multinational clients such as Google, Amazon Web Services and Bolt. It operates what it calls Africa’s largest private gallery of contemporary art inside its workspaces. It has launched a hospitality academy to train staff for the region’s growing service economy.
It also promotes sustainability initiatives, including kitchens that source 90 per cent of ingredients locally, recycling programmes and eco-friendly uniforms. “Investors are backing societal transformation and resilience,” Aldridge said.
Africa’s population is projected to double by 2050, creating demand for jobs, infrastructure and services. For many, the challenge is whether the continent can channel global capital into projects that deliver more than temporary gains.
Aldridge argues that investors should target Africa’s competitive advantages, including its young population, resource base and growing regional integration. At the same time, he says, they must manage risks with local insight and diversification.
The approach, he said, demands larger commitments and longer horizons. It requires investors to align with local operators that have proven execution records. “The continent needs firms that are capable of systemic change as well as boosting economies,” he said.
KOFISI’s bet is that its operator-led model can show investors how to build that future. If it succeeds, the model could shift how billions of dollars are deployed in Africa over the next decade.
