Atta Financial Update

Executive summary:  Africa’s rich list: Mauritius, SA top; Zimbabweans poorest of the poor.

South Africans are the second wealthiest people in Africa, according to a new report by AfrAsia Bank and New World Wealth, which reviewed the wealthiest and poorest countries on the continent.

The average wealth of a person living in SA (wealth per capita) was US$11,300 in 2016, up from US$10,800 in 2015.

Mauritians were found to be the wealthiest individuals in Africa, with US$25,700 in wealth per person. The report showed that Zimbabweans, with just US$200 per person, were the poorest people in Africa.

For the purpose of the report, “wealth” refers to the net assets of a person and includes all their assets – property, cash, equity and business interests – less any liabilities.

According to the researchers, they preferred to use wealth per capita rather than gross domestic product (GDP) per capita. This is because GDP counts certain items more than once and disregards income levels in a country. “GDP ignores the efficiency of the local banking sector and the local stock market at retaining wealth in a country,” according to the report.

The average wealth of individuals in North African countries like Egypt (US$3,700), Algeria (US$3,300) and Morocco (US$3,300) ranked high on the list despite recent instability.

Fact: In 15 years of conquest, Alexander The Great never lost a battle.

AfricInvest to launch its second fund

  • AfricInvest is launching its second fund specifically targeting financial sector opportunities on the continent
  • The goal is to raise €200 million (US$214.5 million) - the fund will build on the track record and experience of its predecessor fund, which has backed 21 financial companies in 16 countries
  • The new fund plans to be more than double the size of its predecessor, which closed in early 2014, garnering €61 million (US$83 million) in commitments from several institutions

Sango Capital raises US$145 million for second fnd

  • Sango Capital Management has raised US$145 million for its second private equity fund from a group of 26 Limited Partners
  • This is a second close for the planned US$200 million fund, following an US$86.8 million close held in the in July last year
  • Sango Capital follows a joint investment strategy, investing its funds’ capital in Africa-focused private equity funds as well as making direct co-investments in select opportunities