Sanari Capital, a women-led and majority Black-owned South African private equity firm, has raised c.R1.5bn ($80m) for the Sanari 3S Growth Fund, a portfolio with significant transformative potential across Africa.

Samantha Pokroy, Sanari Capital CEO, said: “We are excited about this milestone and the vote of confidence in Sanari’s investment programme and strategy. With four investments already concluded and an exciting pipeline of opportunities covering all our investment themes, this capital enables the team to execute at pace. We are confident we will continue to see a positive impact, both on the ground and in the fund’s returns.”

New investors join leading institutions including the Public Investment Corporation (PIC), Alexforbes Investments, the 27four Black Business Growth Fund, Telkom Retirement Fund and the Motor Industry Retirement Funds with RisCura, and the National Fund for Municipal Workers.

Sanari Capital invests up to R250m in well-established businesses that are at an inflection point, driven by technology, innovation, and thematic or sectoral growth drivers. The current portfolio has around 60% hard-currency revenues, a function of the underlying companies’ export-orientation and geographic expansion across Africa and the rest of the world.

“We are continuously inspired by the compelling technology and innovation of South African businesses, in demand outside our borders,” said Moushmi Patel, Executive Director at Sanari Capital.

Specialising in investments in founder-run, owner-managed and family-owned businesses across the mid-market in Africa, the fund has invested in four game-changing portfolio companies: Edulife Group, an affordable schooling group; LightWare LiDAR, the world’s smallest and lightest LiDAR sensor producer; iiDENTIFii, Africa’s leading enterprise identity verification (IDV) company; and Energenic Holdings, a Pan-African energy solutions provider.

“We see an opportunity to participate in the evolving, more sophisticated, more purpose-driven and impactful side of private equity and the role it can play in transforming our economy,” said Sihle Gumede, Sanari Capital Executive Director. 

“The funding will play a pivotal role in promoting diversity and transformation, fostering economic growth, creating jobs, and delivering social, environmental and financial returns.”

Sanari Executive Director Ofentse Pelle noted: “We emphasise digital and human enablement to unlock business potential, drawing on Sanari’s 3S approach for building businesses that are sustainable, scalable and saleable, and focusing on sectors with growth prospects that are de-linked from local GDP.”

Founded in 2013, Sanari Capital is a private equity firm focused on investments in growth companies emanating from Africa (mainly from South Africa) with regional and global scalability and exposure.