AFRICA – Standard Bank, Africa’s biggest lender by assets, has provided a fund subscription credit facility of US$75 million for AfricInvest’s largest and most recent private equity fund to finance investments in accordance with its investment strategy.
The fund, AfricInvest IV, achieved its final close earlier this year with total commitments of US$411 million.
Three Standard Bank entities – Isle of Man, South Africa, and Mauritius – collaborated to close the latest transaction. With AfricInvest being one of the oldest and most experienced Africa private equity fund managers, it is well positioned to increasingly invest in geographies aligned to Standard Bank’s presence.
Founded in 1994, AfricInvest is one of the important players within the African private equity, venture capital and private credit markets.
The firm focuses on all sectors, including construction and manufacturing, consumer and retail, financial services, agribusiness, telecommunications and technology, pharmaceuticals, logistics and transportation, healthcare, and education.
It has successfully secured LP commitments across 21 funds deployed in more than 190 companies across more than 25 African countries.
AfricInvest IV received investment from new and returning institutional investors, development finance institutions, and family offices around the world.
AfricInvest targets growth-capital investments in small and medium-sized enterprises that are well-positioned in their local markets with the potential to scale up their activities beyond their own country’s borders and become “regional champions.”
The Fund’s latest investment in April 2022 saw it, alongside the International Finance Corporation, acquire a 36% stake in East African auto-parts giant, AutoXpress.
Recently, ArabyAds, the leading AdTech company in the MENA region, announced that it raised US$30 million in Pre-Series B funding round from AfricInvest.
ArabyAds will use the new financing to expand its footprint and further invest it to accelerate its technological advancement and talent acquisition to support the growth.
In May this year, AfricInvest announced the final close of its latest fund with total commitments at US$411 million to invest in Africa’s mid-cap companies.
AfricInvest Fund IV, the new fund, is the largest to be closed by the firm, according to a statement.
With its newly acquired fund, the company aims to invest in mature and profitable African mid-cap companies in diverse sectors to boost its regional growth.
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