EIB invests in Africa Industrialization Fund to support growth capital investments

01 Apr 2019

The European Investment Bank (EIB) has signed a commitment of US$15mn with the SPE Africa Industrialization I Fund (AIF I), a generalist private equity fund targeting primarily growth capital investments in SMEs and mid-market companies mainly in North Africa, with a focus on Egypt, Morocco and Tunisia. The fund’s first closing reached US$80mn.

The fund manager, SPE Capital Partners, will adopt a hands-on value-adding investment strategy and will seek to acquire equity stakes in enterprises with robust growth potential in important sectors such as education, healthcare, manufacturing and services to meet their investment needs.

The fund seeks to contribute to the development of the private sector in North Africa by increasing access to capital for local SMEs and mid-market companies. Additionally, the fund’s portfolio companies are anticipated to grow regionally and contribute to strengthening trade between northern and sub-Saharan African countries, while creating over 1,000 direct new jobs.

The EIB commitment was signed under the Southern Neighbourhood Private Equity Risk Capital Facility, a EUR 71.3mn facility which aims to support private equity fund investments in the Southern Neighbourhood countries. The facility blends the EIB’s own resources with European Commission resources under the Neighbourhood Investment Facility.

The Risk Capital Facility for the Southern Neighbourhood (RCF-SN) provides access to equity and debt financing to SMEs in the Mediterranean region in order to support private sector development, inclusive growth and private sector job creation. Set up by the European Commission and the EIB, the RCF-SN builds on the success of the ENPI-FEMIP Risk Capital Mandate 2007-2013, which was fully deployed despite the unprecedented geopolitical turmoil in the target region. 

-END-

« Back to Member News

We are pleased to present our 2020 H1 African Private Equity Data Tracker. The report provides a provisional look… https://t.co/U6NBsOP2BT

@fDiIntelligence: The resilience of investment in Africa’s technology sector mirrors the growth of the African tec… https://t.co/TJ8CGqK9qn

AVCA Member News: CDC, FMO, Norfund et al. back Greenlight Planet Read more: https://t.co/CmZZUf3ZlG

AVCA 2020 Focus Series! Join our panel of experts on 30th September for the last part of our AVCA 2020 Focus Serie… https://t.co/SiyMStL0YU

AVCA Member News: Helios backs Africa Specialty Risk Group Read more: https://t.co/HUnj55qqHQ

;