South Africa’s IoT firm Sensor Networks announced on Wednesday that it has raised R13 million ($1.2 million) in a Series B funding round for expansion capital and new-product development.
The company was founded by local serial entrepreneur Mark Allewell in 2015
Sensor Networks connects the insurance sector with clients, reducing their risks through the use of low-cost smart sensors and its integrated IoT platform.
“We believe the future success of insurers lies in their ability to build effective predictive analytics and look at the individual customer risk in a completely new way,” says Allewell.
Sanari Capital led the Series B and are joined by The ASISA ESD Fund, and Series A investors, 4Di Capital.
Sanari CEO and Founder Samantha Pokroy says, “As a private equity firm, our focus is on businesses scaling and executing well through their growth stage.
Despite Sensor Network’s ‘young age’, the company has gained significant traction with its products, and we’re confident that now is the right time to get involved.”
“The Internet of Things is an important puzzle to solve and an exciting growth opportunity for the household insurance industry to harness. Service providers that are able to integrate smart sensors into their product offerings will significantly reduce their risk while fostering innovation and creating access to rich sources of data.” says Greg Macfarlane, investment head at Edge Growth, which manages The ASISA ESD Fund.
“It’s been an amazing three-year journey for Sensor Networks,” says Allewell. “We’ve seen a lot of excitement for our existing product range, and it’s important that we have already proven how smart sensors can be a direct cost-saving measure for customers and insurance companies.”
Allewell says the Series B funding Sensor Networks has received is a feather in the start-up’s cap, “Our goal is to be the pre-eminent African IoT insurance platform, and having Sanari, The ASISA ESD Fund and 4Di on-board at this stage gives us access to valuable insurance insights and a vast array of business experience and networks.”