Atta Africa Financial Update

Executive summary: Private equity ready to inject billions into Africa.

New reports show private equity activity in Africa will inject billions of US dollars of sustainable investment over the next five years. Private equity deals in Africa are growing from a low base equivalent to 0.18 percent of Africa’s GDP in 2016. Every 0.01 percent increase will mean US$200 million more investment and may reach US$1.1 billion over the next five years.

A growth engine and a positive force for change: experience on the continent shows that private equity investors in Africa are distinct from other parts of the world. They hold investments for longer than in developed markets; use less debt; and improve corporate strategy and governance. They invest more in growth and job-creation, often scaling small businesses to a size viable for trade buyers.

The long-term opportunities across African economies for private equity are extremely robust and demonstrate long-term value creation and returns.

Fact: If you somehow found a way to extract all of the gold from the bubbling core of our little planet, you would be able to cover all of the land in a layer of gold up to your knees

Enko Capital launches Africa focused debt fund

  • Enko Capital has announced the launch of its new African focused debt fund which will invest solely in fixed income corporate securities denominated in local and hard currencies across Africa
  • Enko currently has US$200 million of assets under management and has offices in London and Johannesburg

Tlou Energy and Quantum Global Group to partner

  • Tlou Energy and its power development partner, Independent Power Corporation, have partnered with a USD250 million investment vehicle which is part of the Quantum Global Group to form QG Power Africa
  • Tlou Energy Limited is an AIM and ASX listed company focused on delivering power in Botswana and southern Africa through the development of coal bed methane
  • Botswana is outlined as part of the first phase of development and investment, where Tlou’s IPP Project would be a potential investment opportunity for QG Power Africa

Tata Housing ventures into East Africa property market

  • After it tested the waters in Asian property markets of Sri Lanka and Maldives, Tata Housing Development Company is venturing into East Africa property market with its projects in Kenya and Tanzania spread over 70-acre mixed-use developments
  • The Tata Group company is working on a plan to set up an investment platform worth US$200 million for its projects in overseas markets
  • The first two projects to come up in Tanzania's commercial capital Dar es Salaam and Kenya's Nairobi will have a total 4.5 million sq ft saleable space