Over the past three years, the word “exits” has been bandied about by many Africa-focused investors. The sense is that after more than a decade of active venture capital investments, the time has come to see some returns.
To be clear, there have been a handful of exits, some more noteworthy than others. Paystack, InstaDeep, and Expensya are just a few examples. But away from these mouthwatering deals lies an issue that often flies under the radar: the absence of exit figures.
Two recent examples come to mind: CreditChek’s acquisition of CreditCliq and Bankly’s acquisition by C-One Ventures. On both occasions, the numbers behind the deals were left out. For any journalist who has bothered to enquire, the responses tend to fall along these lines: “We’d rather not disclose those numbers” or worse, “We’d rather focus on what this means for our business going forward.”
Those are understandable positions. Private companies are not obligated to disclose financial details.
Choosing to focus on the impact of a merger or acquisition instead of its price tag can even signal a preference for substance over hype. But too often, a culture of secrecy has unintended consequences, stalling growth, limiting trust, and even undermining the very ecosystem that so many are trying to build.
Why startups and investors choose secrecy
Christophe Viarnaud, Founder and CEO of AfricArena and someone who has sat on both sides of the table as a founder and investor, notes that this lack of transparency is not uniquely African. However, he argues that the issue is magnified in Africa due to a smaller pool of notable exits. The real problem, he says, is the broader data vacuum.
Often, opacity stems from the acquiring party. “One reason is that the acquirer often does not want the numbers disclosed,” Viarnaud explains.
Tolu Adedayo, whose startup, Vella Finance, was acquired by Carbon in February 2025, agrees.
“If the person buying does not want to announce and makes you sign an NDA, there’s nothing you can do about it,” he says.
But even when disclosure is optional, many founders still avoid it, whether due to fear, modesty, or practical concerns.
“There is this fear that we sold too small and didn’t get any money at all,” Adedayo notes.
But where perception often equals value, the absence of numbers can allow damaging narratives to spread unchecked. It doesn’t help that some deals are all-equity and don’t come with flashy numbers, making them harder to contextualise.
Then there’s the cultural angle. Viarnaud adds that founders may not share because of tax implications or black tax obligations. For many, going public about a windfall can invite uncomfortable attention, unrealistic expectations, or social obligations.
But Adedayo believes transparency matters more than ever, both for the founder and for the ecosystem.
“As a founder, you’re building something. Beyond the startup you’re building, you’re building a profile and your credibility in the ecosystem. I want to go to an investor tomorrow and be able to point to an article on a reputable platform as proof of what I’ve built in the past.”
But beyond the active players in a deal, Viarnaud argues that a lack of transparency also reflects the depth of media coverage on the continent.
“You may not want to disclose the terms of a deal, but if you get calls from ten journalists, you might speak at some point.”
What lack of transparency means for the ecosystem
From an ecosystem perspective, not sharing exit figures weakens the data that investors, founders, and even policymakers use to benchmark progress.
“It’s very important for the valuation of the ecosystem to measure the success of the ecosystem by sector,” Viarnaud emphasises.
That lack of data can affect investor sentiment, and not always positively. Ayomide Adebule explains that many M&A transactions – the primary exit vehicle for most African startups – are more complex than they seem, with some shareholders receiving better terms than others.
“Not all M&As are good deals,” he says. “Investors are hesitant to disclose these numbers to the public, as it can reflect badly on them. But then, they ultimately have to do that when fundraising conversations get serious with LPs.”
Notably, Adebule believes that opacity in private markets introduces risk at least in how outsiders perceive them and warns that reporting only successful exits can lead to survivorship bias.
“With the private market, not disclosing deals generally portrays risk in the market, but I think the bet investors are making is, ‘Do they want a blind spot or a bad spot?’.”
Viarnaud adds that while founders may be in the dark, investors tend to share among themselves.
“This does not really impact investors negatively because founders may not talk to each other across borders, but investors do.”
Still, not every investor benefits from the current status quo. The lack of disclosure reduces confidence among new entrants and makes it harder to build a consistent track record for the VC asset class in Africa.
While Nneka Eze, Managing Director at VestedWorld, agrees that the ecosystem could do with more transparency, she notes that the lack of publicly disclosed numbers will scarcely affect conversations with limited partners.
“In general, most LPs are not concerned about the public disclosure. They’re more concerned about the companies in your portfolio, how you’re managing that portfolio, and the performance.”
However, she notes that there will be more public disclosures as the ecosystem matures and more exits occur.
So, what’s the path forward?
The argument for greater transparency is not a call to abandon NDAs or violate the wishes of acquiring parties. Instead, it’s about showing whether progress is being made.
Publicly celebrating exits, sharing high-level deal terms (even without exact numbers), and offering context around acquisitions can go a long way in building trust, attracting capital, and supporting future founders.
Exits are milestones not just for individuals but for ecosystems. And if the African tech ecosystem wants to be taken seriously on the global stage, it may need to start showing its receipts.
