Project detail - ASCENT RIFT VALLEY PARALLEL II LP

ASCENT RIFT VALLEY PARALLEL II LP

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Who is our client

Having raised a USD 78m private equity fund that invests in SMEs in Ethiopia, Kenya and Uganda, the same team from Ascent Rift Valley Fund I are now raising that fund’s successor: Ascent Rift Valley Fund II (“ARVF II”). ARVF II has a proposed fund size of USD 120m and will execute on the same strategy as its predecessor.

Funding objective

ARVF II aims to invest in and develop regional SMEs in East Africa, making use of its local presence and hands-on investment approach to do so. By investing in ARVF II, FMO can contribute to the economic growth of East Africa and help develop the private equity market in this region of the world.

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). The fund manager has shown a strong commitment towards E&S and has a well-developed environment and social management system in place as well as an experienced and dedicated ESG manager in its team. ARVF II will conduct rigorous ESG due diligence during its investment process and the team will develop E&S action plans for its portfolio companies to bring them into compliance with IFC Performance Standards.

Website client
http://www.ascent-africa.com
Region
Africa
Country
Africa
Sector
Infrastructure, Manufacturing and Services
Signing date
12/23/2020
Total FMO financing
USD 10.00 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