Fundraising for African private equity is set for a busy year in 2016, as a good number of managers, aim for initial pushes, final and interim closures. LPs interested in Africa are set to be kept busy by managers marketing more focused strategies, with the bulk of the key GPs selling either a regional or specialist fund.
Private Equity Africa analyses some of the key vehicles to look out for in 2016
- Verod Capital is nearing the final close of its latest fund, having already raised over 80% of its targeted capital. Its sophomore vehicle follows a regional strategy that is centred around West Africa.
Vantage Capital is also approaching the final close of its third specialist vehicle, Vantage Mezzanine Fund III, which is targeting just over $200 million. Vantage in this latest vehicle has been working to allocate a bit more capital out of its base country, South Africa.
- Helios Investment Partners is on the road to raise a specialist debt vehicle for Africa. The manager last year brought in a new partner to lead a debt team, and also won a mandate for a US-based investor to manage its deals in Africa.
- Alitheia Identity Managers is expecting the first close of its maiden vehicle in the first half of 2016. The vehicle has a specialist focus on women-owned businesses and the fund team led by three female partners. A second close is set for 2016 year-end.
- Adenia Partners, formerly I&P Management, is expecting the first close of its fourth generalist vehicle, Adenia Capital IV, by May 2016. The vehicle is sized at approximately $224 million (€200 million). The fund is targeting the final close in early 2017.
- Duet Private Equity is expecting the final close of its first Sub Saharan Africa-focused private equity vehicle by 2016 year-end. The investor, which has traditionally managed hedge funds, is looking for $300 million at final close. Duet recently set up a feeder vehicle targeted at LPs based in Israel.
- African Capital Alliance has been in the market with its fifth vehicle, which is primarily focused on the West Africa region. The manager is yet to announce the closure of its fund, with its last known fund event being a commitment from the New York State Common Retirement Fund.
- Momentum Africa Investment Management is expecting to reach the final close of its specialist real estate fund by July this year. The specialist real estate vehicle is targeting to close at $250 million, and had passed a $150 million close in 2015.
- Falcon Investment Advisors is raising a $250 million specialist mezzanine fund, understood to be its first vehicle to be solely focused on Sub-Saharan Africa opportunities. US-based Falcon Investments currently has over $1.8 billion in assets under management, globally.
- Actis is currently in the market with its third specialist real estate vehicle, Actis Africa Real Estate Fund 3. The vehicle is targeting $400 million at final close, and received significant commitments in 2015.
- TLG Capital last year set up a specialist debt fund for Sub-Saharan Africa, which will be actively raising capital in 2016.The TLG Credit Opportunities Fund (COF) will look to raise $150 million at final close.
- Investec Asset Management in 2015 launched a specialist Sub-Saharan Africa (SSA) focused real estate investment platform targeting an initial capital raise of $500 million. The vehicle is set to become one of the continent’s largest real estate vehicles.
- CBO Capital Partners is in the market with its regional vehicle, the CBO West Africa Growth Private Equity Fund. The fund is targeting $150 million at final close, and has been structured as two $75 million sub-funds. One vehicle is targeting global investors, and the other local pension funds.
- Global Environment Fund (GEF) has been on the road with its second agribusiness fund. The vehicle has been sized at $200million, to back companies operating in the agriculture, fishery, and forestry spaces.
- Meridiam is in the market to raise approximately $325.8 million (€300 million) for its Meridiam Infrastructure Africa Fund (MIAF).The vehicle sees the France-based investor set up its first Africa-focused platform, having historically invested in Europe and North America. Meridiam has approximately €3 billion in assets under management.
- Oasis Capital has been in the market with its regional fund, which is looking for $50million at final close. The fund’s Ghana-based manager will invest both debt and equity in the target companies, primarily in its base country.
- Abraaj last year passed the mid-mark of its sector-focused emerging markets fund, Abraaj Growth Markets Health Fund, raising at least $500 million towards its targeted $1 billion. The vehicle has a significant allocation to Africa
- Emerging Capital Partners has been raising its fourth pan African fund – looking for $750 million at final close. The manager is yet to announce a final close on the fund.
- Agri-Vie has been raising its sophomore Sub-Saharan Africa (SSA) specialist vehicle. The agriculture-focused fund has exposure to its base country, South Africa, capped at 25%.
- Metier Private Equity in 2015 had a first close on its second fund, raising about 40% of its target. The fund is underpinned by two sub-vehicles – one focused on South Africa, and the other on Sub-Saharan Africa. The manager is looking for a 50% exposure to both strategies.
As posted by: http://www.privateequityafrica.com/JAN 13, 2016 2:04 PM