AFRICA – Tembo Capital, a private equity investment advisor, has launched a fundraising target of US$300 million through its Tembo Capital Mining Fund III (Tembo Fund III) having been advised by Carey Olsen’s corporate team in Guernsey.
A Guernsey closed-ended investment scheme, Tembo Fund III will follow a similar investment strategy as Tembo’s first two funds and invest in high quality, undervalued assets owned by mid-tier and junior mining companies.
These opportunities may include exploration ventures, near term production ventures, royalties, operating mines, infrastructure of metals and mining projects, and services associated with the metals and mining sector.
Working alongside onshore counsel Macfarlanes, the Carey Olsen team advising Tembo on all Guernsey-related corporate and regulatory aspects of the fund’s launch and initial fundraising was led by partner Ben Morgan, assisted by senior associate Alex Mauger.
“Having advised Tembo on its first two fund launches; Carey Olsen is pleased to have seen the firm go from strength to strength and to be supporting Tembo again on its latest fund. The commitments already secured demonstrate both the confidence in Tembo as an investor in the mining industry and its market leading position,” Ben said.
Since inception, Tembo has invested more than US$240 million of equity capital in 13 mining companies. Tembo has also raised and invested an additional US$20 million of co-investment equity capital.
To date, Tembo has realised US$175 million and distributed US$165 million, generating a combined gross realised internal rate of return of 28 per cent and a gross multiple of invested capital of 2.3x.
Tembo Capital is the investment advisor to two private equity funds which target junior and mid-tier mining investment opportunities. Tembo Capital is authorised and regulated by the Financial Conduct Authority.
The Tembo Capital Investment Team has a wealth of technical and financial experience with significant in-house expertise in the fields of geology, mine engineering, metallurgy, mining finance and private equity.
Tembo Capital aims to grow a strong and diversified investment portfolio focussing on low cost, quality assets managed by high calibre teams.
The team’s experience, coupled with a strong network of relationships in the mining industry, enables Tembo Capital to add long-term value to its investments through technical input, strategic guidance, financial solutions and industry introductions.
Tembo Capital aims to work collaboratively with its investee companies through a long term partnership-type approach.