AI Firm Lua Secures $5.8M Seed Round, Gains Early Traction in Kenya


Lua, a startup developing software that allows businesses to deploy and oversee artificial intelligence agents working alongside human teams, has raised $5.8 million in seed funding. The company is scaling a platform that is already gaining traction in Kenya and other emerging African markets.

The fresh capital will be used to grow its presence across several regions, maintaining a strong focus on emerging markets like Kenya while also expanding into the United States, Europe, and Asia.

At its core, Lua is building tools that enable organisations to create AI agents that operate much like digital staff. These agents handle functions such as customer onboarding, loan processing, insurance workflows, and client qualification, all while integrating with existing business systems and collaborating with human employees.

The funding round was led by Norrsken22, with backing from Flourish Ventures, 20VC, P1 Ventures, Enza Capital, Phosphor Capital, and Y Combinator, among other tech-focused investors.

CEO Lorcan O’Cathain noted that many companies struggle with either overly complex systems or inflexible tools that fail to mirror real workplace dynamics. He added that Lua is designed to give teams ownership of their AI agents and outcomes, allowing them to improve efficiency over time rather than incur rising costs as usage increases.

Founded in 2024 by O’Cathain and Stefan Kruger, the company draws heavily on its founders’ experience in scaling fintech operations across East Africa. This background has shaped Lua’s approach to building adaptable software suited to diverse infrastructure and operating environments.

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Investors point to a rising need for systems that can effectively coordinate hybrid workforces made up of both humans and AI, particularly as businesses shift from experimenting with generative AI to fully integrating it into daily operations.

Norrsken22’s General Partner Lexi Novitske remarked that the founders have a strong grasp of how human and AI collaboration should function, highlighting the company’s global deployment footprint and data-driven approach as key advantages.

In Kenya, businesses are already leveraging Lua’s platform to deploy AI agents across channels such as WhatsApp and websites. These agents are being used for tasks including customer engagement, loan application processing, insurance claims management, and onboarding automation—part of a broader effort to cut down manual processes and improve service efficiency.

Since launching its agent platform in late 2025, Lua has recorded swift growth, with internal figures indicating revenue has been rising at nearly 30 percent week-on-week, alongside a surge in the number of AI agents built on its system.

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