OPIC commits up to $700m in African PE funds
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The Overseas Private Investment Corporation (OPIC), the US Government’s development finance institution, has approved up to $700m in financing to support investment funds working in Africa with strong opportunity for development impact.
The Overseas Private Investment Corporation (OPIC), the US Government’s development finance institution, has approved up to $700m in financing to support investment funds working in Africa with strong opportunity for development impact.
The board of directors’ approvals for OPIC support included: up to $75m in financing to Apis Growth Fund I, managed by Apis Partners; up to $200m in financing to LeapFrog Emerging Consumer Fund III, managed by LeapFrog Investments Group; up to $150m in financing to Abraaj Growth Markets Health Fund, managed by Abraaj Investment Management; up to $50m in financing to Meridiam Infrastructure Africa Fund, managed by Meridiam SAS; up to $150m in financing to 57 Stars Global Opportunity Fund 4; and up to $75m in financing to Falcon Mezzanine Partners Africa PCC, a private equity fund sponsored by Falcon Investment Advisors.
The funds approved for planned OPIC commitment will invest in Sub-Saharan Africa in sectors including new healthcare, financial services, renewable energy and infrastructure.
Elizabeth Littlefield, OPIC’s President and CEO, said: “When fully implemented, the funds approved for OPIC financing will show the spectrum of development impact that private investors can achieve with the right catalytic support.”
In addition, OPIC has approved new financing to support investment funds in Latin-America, South Asia, Southeast Asia and Turkey.
“These investment funds present sound strategies for financial returns that bring with them social and development returns,” said Littlefield.
Brooks Preston, OPIC’s Vice President for Investment Funds, added that emerging market private equity is one place where investors are finding development impact strategies at scale.
"And in any market, the key to sound financial strategy is cutting-edge fund managers – all of whom are central to the funds approved today for OPIC support,” he said.
“The high quality of these fund managers is exciting, and they have potential to transform the countries and sectors where they operate. Our team looks forward to partnering with these funds to show that financial performance and development goals can complementary,” he added.