NAIROBI, Kenya, Sep 6 – African Originals, a Kenyan startup specializing in locally-sourced alcoholic and non-alcoholic beverages, raised Sh257.4 million ($2 million) from international investors last month.
The funds came from Phoenix Beverages Limited, a Mauritius beverage company, and will be used to scale production and expand the product line.
Other key investors are Chandaria Capital, Perivoli Innovations, and Amaya Capital.
Capital Business recently spoke with CEO Alex Chappatte about the company’s plans.
Can you share what this means for African Originals and your future plans?
This funding marks a significant milestone for African Originals and reflects the confidence our investors have in our vision and our ability to deliver on it.
With this capital, through our three key brands, Kenyan Originals, African Originals and 5.8, we’re poised to scale our operations, expand our product line, and deepen our impact within the Kenyan market and beyond.
It’s an exciting time for us as we continue to champion the best of Kenya’s natural ingredients like tropical fruits, botanicals and herbs, tea and coffee, locally sourced honey and indigenous berries that showcase the richness of our culture through our craft beverages.
We’re particularly focused on empowering local farmers, promoting sustainability, and bringing authentic Kenyan flavors to a broader audience.
How do you see this new funding impacting the growth of the craft beverage industry in Kenya?
The craft beverage industry in Kenya is still in its early stages, but it’s growing rapidly. This funding allows us to accelerate that growth by investing in innovation, enhancing our production capabilities, and expanding our distribution network.
It’s not just about growing African Originals—it’s about elevating the entire industry. We aim to set a benchmark for quality and creativity, demonstrating that Kenyan brands, like Kenyan Originals, 5.8, and African Originals, can compete on a global scale.
This investment is a testament to the potential of the Kenyan market and the untapped opportunities in sectors beyond traditional tech.
You’ve spoken before about the importance of supporting local farmers and
sustainability. How will this funding help advance those goals?
Supporting local farmers and sustainability has always been at the core of what we do. In all our beverages we use locally sourced fruit. We are starting to see supply constraints versus our demand. With this funding, we can further invest in our supply chain, ensuring that we continue to source the highest quality, locally-grown ingredients.
We’re also committed to expanding our collaborations with organizations like Bees with Stories, which empower small-scale farmers and beekeepers.
Additionally, we’ll be enhancing our sustainability practices, from reducing our carbon footprint to supporting initiatives that protect biodiversity. Every step of our growth is designed to have a positive impact on the communities we work with and the environment.
Raising significant capital as a non-tech company in Kenya is a notable achievement. What does this say about the potential for growth in non-tech sectors in the region?
Alex Chappatte: This funding round is a strong signal that there’s immense potential in non-
tech sectors in Kenya and across Africa. While tech often grabs the headlines, industries like
food and beverage, beauty, agriculture, and manufacturing are ripe for innovation and
investment.
Our success shows that with the right product, a clear vision, and a commitment to
quality, non-tech companies can attract significant investment and scale rapidly. Other recent
successes highlight this trend. Kudos to the Uncover team, a female-founded, Kenya-based
beauty company, which recently raised $1 million in funding.
It’s an exciting time to be in the Kenyan market, and I believe we’ll see more non-tech startups gaining recognition and funding as investors broaden their horizons.
You’re a female CEO in a landscape that can often be challenging for women
entrepreneurs. How does this funding round inspire other women in business, particularly in raising capital?
Alex Chappatte: The African continent is a tough place for women to raise capital, and I’ve
found the journey particularly challenging. Africa’s overall funding is already limited—$4 billion
compared to $415 billion globally.
This means less than 1% of total global funding is allocated across the entire continent, despite Africa housing 15% of the world’s population. Moreover, Africa’s funding has decreased by roughly 50% since 2022.
Now, add an extra challenge to the mix: being a woman. Less than 2% of that funding goes to
companies founded solely by women.
I hope this achievement serves as a source of inspiration for other women entrepreneurs in
Kenya and beyond. The journey to raising capital isn’t easy, especially in a male-dominated
industry, but it’s absolutely possible. It’s important for women to see that they can lead
successful businesses and attract significant investment, even in non-traditional sectors.
I’m passionate about breaking down barriers and creating a more inclusive business environment
where women can thrive. This funding round is proof that when women bring innovative ideas
to the table, investors are ready to back them.
What advice would you give to other entrepreneurs in Kenya who are looking to raise capital, especially those outside the tech space?
My advice is to stay true to your vision and focus on building a solid business
foundation. Investors, especially in the past two years, are seeking companies that not only
have a great product but also a sustainable business model with a clear path to profitability.
Consider turning your brand ambassadors and consumers into investors. In 2022, we conducted
a crowd-sourced fundraising campaign, bringing on board over 100 Kenyan investors who love
the brand, the product, and the company. It’s a win-win—your consumers, who are your most
important stakeholders, become owners in your business. They not only champion the products
but also provide open and honest feedback because they are invested in the company’s
success.
More recently, we’ve benefited from bringing on a strategic investor, Phoenix Beverages
Limited, the largest beverage company in Mauritius. Their partnership has brought deep
industry knowledge and additional support across manufacturing, procurement, sales, and
marketing. We’re thrilled with this collaboration and believe it will help propel the company to
the next stage of growth more quickly.
Finally, be persistent—raising capital can be challenging, but with determination and the right
approach, you can achieve your goals.
