African Tech M&A Activity Rose 34% in 2024: What to Expect
- M&A activity surged by 34% in Africa's tech sector in 2024, with 39 deals recorded.
- Venture capital funding dropped by 22.73% to $2.21 billion, pushing startups towards M&A.
- Fintech led the M&A scene with 13 deals, leveraging acquisitions for market access.
The shift towards M&A in Africa's tech sector reflects a strategic adaptation to challenging funding environments. This trend could lead to a more consolidated and efficient market, but it also raises questions about the long-term sustainability of startups relying on acquisitions for growth. Investors should remain vigilant and consider the implications of this consolidation on competition and innovation.
