Africa Invest chief executive officer Jon Maguire also led the distribution of the £400m Arch Cru Oeic fund range which was suspended in March.
A statement on the Africa Invest website says the withdrawal of a seed investor means the launch is no longer viable and the decision has been taken to refund all subscriptions in full.
It says Africa Invest Fund Management will now look to wind down fund raising in the UK and finance raising will now be transferred to the African based businesses.
It says: “We are naturally disappointed with this outcome, having worked hard for over 18 months to make the fund a success.
“Interest in the fund is plentiful but many interested investors have deferred decisions during these financially difficult times.”
It adds: “The fund aimed to be a useful source of equity risk finance for major agri investments but this role will now be filled by capital from development banks and venture capital opportunities.”