Atta Africa Financial Update

Executive summary: South African private equity capital returns to investors were up 123.2% last year to R18.3 billion (US$1.40bn) — up from R8.2 billion in 2015, courtesy of the Savca 2017 Private Equity Industry Survey.

Tanya van Lill, CEO of the Southern African Venture Capital and Private Equity Association (Savca), said between 2015 and last year, trade sales were reported as the most popular exit route in value terms while sales to management were the most popular by volume.

Funds under management have growht to R171.8 billion (US$13.1bn) since the end of 2016, representing a compound annual growth rate of 11.4% since 1999, when the Savca survey first began.

Overall the survey results highlight that despite the harsh economic environment currently facing South Africa, the private equity asset class continues to contribute positively to economic growth in the country.

Fact: The French word for arsenic used to be "poudre de succession" or "inheritance powder", because it was used in so many murders.

Jack Ma to back young African entrepreneurs with US$10 million fund

  • Jack Ma, founder of Chinese ecommerce giant Alibaba, has announced his African Young Entrepreneurs Fund at the Youth Connekt Africa Summit in Rwanda
  • It was the first visit to the continent for Ma, who is worth more than US$35 billion
  • Ma also wants to partner with African universities to teach internet technology, artificial intelligence and e-commerce and bring 200 African entrepreneurs to China, to learn hands on from Alibaba

Emerging Africa Infrastructure and FMO to back Ugandan power play

  • Emerging Africa Infrastructure Partners and Dutch DFI FMO are jointly lending US$29.3 million of senior debt to the 13MW Bugoye hydro-electric power plant
  • The asset is owned by the Africa Renewable Energy Fund (AREF), Berkeley Energy‘s US$200 million fund

LGC Capital and AfriAg to acquire 60% of House of Hemp

  • South African specialist agribusiness AfriAg and Canadian investor LGC Capital have agreed to acquire a 60% stake in House of Hemp in a deal valued at approximately US$4.1 million
  • The deal forms part of LGC’s Medical Cannabis initiative, a 50/50 joint venture with AfriAg to develop a fully-regulated cannabis