SweepSouth, an on-demand home cleaning and service platform based in Cape Town, has raised a further US$11 million (R200 million) in funding, spearheaded by private equity fund Alitheia IDF. The investment comes nine months after the Egyptian home services platform FilKhedma was bought by the new company. It will allow the company to grow its business and move into new markets.
The most recent round of funding was SweepSouth’s biggest to date. It came after the company’s value went up a lot. The report claimed that new investors Endeavor Catalyst, Endeavor’s Harvest Fund II, Caruso Ventures, and E4E Africa have committed to taking part in the new round, along with existing investors Naspers Foundry, The Michael and Susan Dell Foundation, and Futuregrowth Asset Management, the report claimed.
Why did the investors’ investments in SweepSouthÂ
The company said in a statement that the most recent round of funding would enable it to “pursue both greenfield expansions and acquisitions across the African continent and beyond,” as well as to “further develop and grow its infrastructure and team in South Africa and roll out new services in existing markets.”
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In the statement, Pandor said, “We are particularly proud to have raised funding from Alitheia IDF, a female-led fund, and to have included more women investors on the cap table via a female-focused special purpose vehicle during this round.” We are excited about what this means for us going forward and are thrilled to have Polo Leteka from Alitheia IDF join the board. “
“We are proud to help SweepSouth grow as it expands its platform, which helps domestic workers in Africa, most of whom are women, in their financial and social lives.Â
In the domestic services industry, known for being unregulated and exploitative, SweepSouth’s model solves the problems of independence, security, and increasing income for its service providers, as well as affordability and flexibility for its customers. “AIF’s investment will enable the development of infrastructure and operations that will deliver growth for stakeholders, particularly domestic workers and local tradespeople at the base of the economic pyramid,” says Polo Leteka, principal partner at the Alitheia IDF Fund.
Alitheia IDF (AIF), a $100 million fund with a focus on women and run by two women-led companies, Alitheia Capital (Lagos, Nigeria) and IDF Capital, is Africa’s first private equity fund with a focus on women and run by women. IDF Capital and Alitheia Capital are headquartered in Johannesburg, South Africa, and Lagos, Nigeria.
The fund is meant for small and medium-sized enterprises (SMEs) in six different African countries: Nigeria, South Africa, Ghana, Lesotho, Zimbabwe, and Zambia. It then invests in those SMEs, intending to assist them in growing. The fund’s final close will be announced in 2021 and will be Africa’s largest gender-lens private equity fund.
About The SweepSouth
SweepSouth was founded in 2014 by Aisha Pandor and her husband, Alen Ribic, and has a presence in South Africa, Kenya, Nigeria, and Egypt. The SweepSouth report on Pay and Working Conditions for Domestic Workers Across Africa, which shows how hard it is for domestic workers in Africa and asks governments and other groups to do more, is just one example of how SweepSouth is still working to improve the lives of domestic workers.Â