In a groundbreaking development, Khula! has raised R126 million from its existing shareholders, Absa Bank, AECI, E Squared, PepsiCo’s Kgodiso Fund and contributions from the founders Karidas Tshintsholo and Matthew Piper.
Co-founder and chief executive officer Karidas Tshintsholo said the Series A funding is a major accomplishment for the company, which has evolved from starting with just loading spinach in the back of a VW Polo to becoming a leader in South Africa’s agritech sector.
The company is now inviting new investors who wish to participate in the second part of the Series A investment round, closing by the end of the second quarter of 2025. Khula! is looking for strategic investors aligned with its mission and can add value beyond financial contributions.
Supporting new-era farmers
Faisal Mkhize, chief executive at Absa Business Banking, said as the biggest financier of agriculture in South Africa, they are committed to enabling financial inclusion and supporting a new era of farmers.
“Congratulations to the Khula! team. We are excited to be part of the Khula! growth story and look forward to the innovation and transformation that the next phase of investment will unlock,” Mkhize said.
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Khula! is a leader in agritech in South Africa, and has built an ecosystem that addresses challenges across the agricultural value chain. This includes an Inputs App that connects farmers with agricultural inputs and technical services as well as a trading platform that connects vetted farmers with leading buyers of their agricultural supplies.
Gladwyn Leeuw, chief executive officer of E Squared Investments, said it has been privileged to support the Khula! founding team since the early stages of their journey, witnessing their evolution into an innovative, high-impact agritech platform.
Investing in the future
“As the lead investor, we are proud to back the team in reaching the first close and remain committed to supporting their growth. We welcome values-aligned, strategic investors to join us in accelerating Khula!’s expansion and deepening its impact in transforming the agricultural sector,” Leeuw said.
According to Khula!, they intend to use this funding to strengthen their position in the South African agri-value chain and to further their work to support farmers in growing their businesses.
“The team will also be launching exciting new intelligent innovations to provide greater access for farmers, and setting its sites to new markets,” the organisation said.
Meanwhile, Quintin Cross, managing executive of AECI Plant Health, said they first invested in Khula! in 2020, driven by frustration over the challenges facing the new-era farmer market.
“This sector was fragmented, with farmers lacking access to technical support, financial services, and affordable agricultural inputs. While AECI has established itself as a leader in the commercial farming sector with agrochemical and plant nutrition inputs, we remain committed to supporting emerging farmers.
“Their success is vital for the broader agricultural landscape, which is why we have chosen to participate in the Khula! Series A funding round. This investment reinforces our long-term commitment to empowering this market and ensuring its sustainable growth alongside Khula!,” Cross said.
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