Project detail - AFRICINVEST FUND IV, LLC

AFRICINVEST FUND IV, LLC

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Who is our client

AfricInvest was founded in 1994 and is one of the most experienced private equity investors on the African continent. To date, AfricInvest has invested in more than 150 companies across 25 countries and has raised USD 1.5b across 18 funds, and now aims to raise USD 500m for AfricInvest Fund IV.

Funding objective

AfricInvest aims to make growth-capital investments in mid-cap African companies that are well positioned in their local markets and are posed to scale up operations as they expand outside their borders to become “regional champions”. By investing in AfricInvest IV FMO can contribute to the economic growth and private equity market development across the African continent.

Why we fund this project

This investment fits FMO’s strategy, deepening a relationship with an existing partner in African private equity investing, and contributes further to FMO’s ambition of being a preferred partner for growth in emerging markets.

Environmental and social rationale

Based on the risk profile of the pipeline companies, the preliminary E&S categorization is B (medium – high risk). AfricInvest has shown a solid commitment towards E&S and has a strong environment and social management system in place as well as an experienced and dedicated ESG manager in its team. AfricInvest conducts rigorous ESG due diligence during its investment process and develops E&S action plans for its portfolio companies to bring them into compliance with the IFC Performance Standards.

Region
Africa
Country
Africa
Sector
Infrastructure, Manufacturing and Services
Signing date
6/4/2020
Total FMO financing
USD 30.00 MLN
Fund
FMO
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk Environmental & Social Category
(A, B+, B or C)
B