Date: 28 May 2025
Author:

Bridging the Gap for Early-Stage Social Enterprises in South Africa

In a pioneering step to reshape how social enterprises are funded and supported, E Squared Investments is excited to announce its first venture philanthropy transaction with Regenize, a Zero Waste Solutions company focused on enhancing recycling accessibility in South Africa. The investment marks a major milestone and highlights E Squared’s commitment to mobilising capital for social enterprises committed to promoting systemic and sustainable change.

Regenize, known for its community-centric recycling model and decentralised recycling hubs, is the first beneficiary of E Squared’s new venture philanthropy strategy – a high-engagement model that blends philanthropic intent with venture capital principles. Through this approach, E Squared is not only providing capital but also hands-on strategic support to accelerate Regenize’s mission of making recycling more accessible while integrating the informal waste sector.

“At E Squared, we see our role as not just investing in social enterprises but also pioneering innovative financing models. By deploying patient capital, we’re able to take on higher risks, which allows us to lead in creating solutions to societal challenges. This approach also offers other investors the confidence to join us in tackling these issues. We view our capital as catalytic – enabling social enterprises to thrive and creating an ecosystem where innovation and impact can flourish through venture philanthropy,” said Thato Ntseare, Investment Manager at E Squared Investments.

Unlike traditional philanthropy, which typically offers grants with no return expectations or commercial investments that focus solely on financial gain, venture philanthropy bridges the gap by offering tailored financial instruments – including recoverable grants, equity, or blended finance – paired with expert guidance to drive scalable impact.

For Regenize, this support could not have come at a better time.

“Over the past few years, Regenize has been dedicated to building a recycling solution that works for South Africa – one that makes recycling accessible while integrating the informal waste sector through our carbon-positive, decentralised recycling methodology,” said Chad Robertson, CEO and Co-Founder of Regenize.

“It’s rare to find investors who understand both the business and social impact side of what we do,” he explained. “From the very first conversation, E Squared recognised the power of our decentralised model and the value of integrating informal waste workers. Their commitment has been more than financial – it’s been deeply strategic.”

The investment is set to amplify Regenize’s national footprint and impact by:

  • Expanding its network of decentralised recycling hubs
  • Providing free recycling services to over 26,000 households
  • Creating more than 180 new jobs
  • Diverting over 30,000 tonnes of waste from landfills
  • Preventing more than 31,000 tonnes of carbon emissions
  • Supporting over 4.4 million fossil-fuel-free waste collections

With E Squared’s support, Regenize will scale its impact through these measurable outcomes – contributing not only to environmental progress but also to job creation and economic upliftment in marginalised communities. Importantly, robust governance and accountability structures will ensure that a meaningful portion of profits generated are reinvested into social causes, reinforcing a model where financial returns are directly aligned with social impact objectives.

As Venture Philanthropy continues to evolve, E Squared remains committed to building a funding ecosystem that ensures social enterprises not only survive, but thrive – creating long-term, sustainable impact across communities and the environment.

E Squared’s venture philanthropy initiative signals a new era in South African impact investing, one that places equal weight on sustainability and scale. It’s designed for Hybrid Social Enterprises – those operating at the intersection of purpose and profit, ensuring they have the tools, funding, and frameworks to grow without compromising their mission.

“We’re not just writing cheques – we’re building ecosystems,” added Ntseare. “Our goal is to prove that impact and innovation can go hand in hand, and to bring other funders along this journey to transform South Africa’s social enterprise landscape.”

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Distributed by JNPR on behalf of E Squared Investments. For further information or interview requests please contact: esquared@jnpr.co.za

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