United Kingdom-based CDC Group and Finland-based Finnfund have announced in a joint statement that they have made a commitment of USD $ 70 million to the AfricInvest Fund IV. The AfricInvest Funf IV is a generalist Pan- African fund that seeks to promote growth and expansion of African businesses across the continent.
The CDC Group’s impact investor and development finance institution invested USD 50 million and the Finish development financier also committed the remaining US$ 20 million.
Clarisa De Franco, Managing Director, Head of Africa Funds, Funds and Capital Partnerships said “CDC’s countercyclical commitment will improve AfricInvest’s chances of weathering the COVID-19 crisis and enable the firm to continue investing and generating transformational impact across the African continent”.
Riikka Molander, Associate Director, Finnfund also added “Particularly now, in the midst of the COVID-19 pandemic, it is important to generate financing for African companies. As a development financier, we aim to foster the development and growth of responsible, innovative businesses which can create employment and, through their operations, generate positive impacts in wider society,”
AfricInvest has offices in Cairo, Casablanca, Lagos, Abidjan, Tunis and Nairobi and has a sterling track record in African private equity. It has investments in over 150 projects and across 25 countries through several funds.
The Fund IV will target mid-cap and growth-oriented companies in sectors including financial services, agribusiness, logistics, manufacturing, healthcare, and education.