Abidjan - On December 9, 2014, in Dakar, Senegal, the Regional Stock Exchange (BRVM) and Advanced Finance & Investment Group (AFIG Funds) signed a strategic partnership agreement to facilitate access to financing via the stock exchange. This partnership will support the BRVM’s initiative to add a third trading platform focused on Small and Medium Enterprises (SMEs) and companies with strong growth potential in the UEMOA (West African Economic and Monetary Union) region. This major new initiative by the BRVM secured the support of AFIG Funds, a leading regional private equity fund manager.
The objective of this partnership, according to Mr. Kossi Edoh Amenounve, CEO of the BRVM and of the DC/BR (Central Depository), is "to gain the support of a technical partner capable of participating in the implementation of a platform of the exchange dedicated to SMEs from the UEMOA region and facilitating their access to funding through the stock exchange." Financing SMEs, which are the engines of growth of regional economies, has been a key priority for governments and the private sector of UEMOA states. As part of its mandate to develop regional capital markets, the BRVM aims to develop new solutions to facilitate access to financing for regional companies.
For Mr. Papa Madiaw Ndiaye, CEO of AFIG Funds, the signature of this partnership offers "a new priority option for the sale of our shareholding in portfolio companies through the new stock market platform dedicated to SMEs, while achieving strong returns”. Mr. Ndiaye also added that "a listing on the stock exchange is typically a preferred path for private equity funds around the world to exit portfolio investments.”
The BRVM and AFIG Funds agreed, in the framework of the partnership, to share experiences and to build synergies around their respective processes to promote access to the exchange for companies with high growth potential.
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