02 February 2017
Atta Financial Update
Executive summary for the week of 24-Jan-17 to 31-Jan-17 (week 5)
Development efforts in Africa have historically been the role of foreign aid agencies, local and international NGOs and publicly-funded multilateral finance institutions. African governmental spending has also played a central role. Private-sector funded economic development, while existent, has been much less present and visible.
Over the past decade and a half, the growing Africa-focused private equity community has had a unique opportunity to play its part in what is becoming a development relationship. African economic growth has created opportunities for PE firms to create value and get returns, and, at the same time, PE is good for African economic development: it helps to create a healthy business sector, which promotes job creation and political stability, and takes pressure off governments to be universal problem-solvers.
Since the 1990s, the number of funds has grown from around a dozen Africa-focused PE firms, managing about US$1bn, to more than 200 firms with some level of focus on Africa, managing more than US$30bn. In the past five years, firms raised over US$16.2bn and invested across a variety of sectors and in every region of the continent (FT, 2017).
Fact: Karl Marx’s final works were Last words are for fools who have not said enough!
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Africa Finance Corporation US$150m debt issuance |
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Inspired Evolution held a first close for its second fund at US$90 million |
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Pearl Capital Partners has held a €12 million (US$12.9m) first close |
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Africa Merchant Capital launched its subsidiary AMC Trade Finance |
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