News and developments on African capital markets, includes: African securities, African stock exchanges/stock markets, African equities, African bonds, African private equity/venture capital, and African social impact investment
Private equity are getting harder in Africa, particularly for mega funds looking for $75m deals, and 57 funds are currently trying to raise $13.1bn causing a “traffic jam”m, say private equity experts.
Entrepreneurs running small and medium-enterprises (SMEs) in West and East Africa stand to benefit from a new $75m private equity fund. The announcement follows the news on 29 Jan that two long-term private equity partners – Jacana and InReturn Capital – are merging.
It was great to be part of the inaugural Private Equity Africa Awards, organized by the excellent team. According to them, the accolades are the first to focus only on Africa’s private equity industry. Helios and Citadel won the most awards. The evening concluded a day-long LP (limited partners) summit on 14 June 2012.
Abraaj Capital, a leading private equity manager investing into Africa, Middle East, Asia and Turkey, recently announced the acquisition of Aureos Capital, a global private equity fund management group investing in small and medium-sized enterprises across Asia, Africa and Latin America.
London-based alternative asset manager Duet Group and Vasari, a company with a record of growing businesses, announced recently in a press release that they had made the largest private equity investment in Ethiopia so far to expand Dashen Brewery.
The International Finance Corporation (IFC), a member of the World Bank Group, on 20 Dec agreed to invest CAD1,250,000 in nickel and copper exploration through Sama Resources Inc, which will use the funds to advance the Samapleu project in eastern Côte d’Ivoire, near the border with Guinea.
Government leaders, regulators and decision-makers across Africa recognize the success of private equity in growing companies, creating jobs and developing infrastructure. They are actively considering ways of encouraging flows of capital, both international and domestic, into private equity.
Fund-raising for sub-Saharan African private equity funds was $1.056 billion in January to June 2011, down 5% from $1.11 bn in the first half of 2010.Total fund-raising for emerging markets funds for the first half of 2011 was $22.6 bn, according to EMPEA, more than double the activity of the first half of 2010.
Tiny, small and medium businesses in Egypt and Tunisia, later Algeria and Morocco, are set to benefit from a new €30 million ($43.2 mn) SANAD Fund for MSME.
Kenyan private equity firm TransCentury is to list through introduction at the Nairobi Stock Exchange on 14 July at a price of KES50 (USD0.58) a share. The firm began as an investment club and is valued at KES13.35 billion ($148.7 million).