Africa-Based Private Equity Fund Managers – March 2013

by Luke Goldsmith

  • 06 Mar 2013
  • PE

According to Preqin’s Fund Manager Profiles database, there are currently 120 private equity firms headquartered across Africa. Of these firms, there are 100 based in Sub-Saharan Africa and 20 based in North Africa. Collectively, these firms have raised approximately $19.3bn in capital over the last 10 years and have an estimated $4.8bn available in dry powder. Seventy-four percent of all the capital raised in the region has been raised by firms based in Sub-Saharan Africa.

In terms of country location, South Africa-based fund managers have raised $7.7bn in capital over the last 10 years, Mauritius-based fund managers have raised $4.5bn and Egypt-based fund managers have raised $4.1bn. Eight of the 10 largest Africa-based firms by funds raised in the last 10 years are based in these three countries.

The top five Africa-based fund managers by total capital raised over the last decade are Citadel Capital, ChrysCapital, Ethos Private Equity, Pamodzi Investment and EFG-Hermes Private Equity. These firms alone account for 45% of all the capital raised in the region over the last 10 years.

Citadel Capital is based in Egypt and has raised $2.4bn in total capital over the last 10 years with an estimated $217mn available in dry powder. The firm recently raised two hybrid funds which both closed in 2012, that invest across more than one alternative asset class. The MENA Joint Investment Fund and the Africa Joint Investment Fund raised $120mn and $80mn, respectively. The firm focuses its investments across the Middle East and North Africa and pursues a number of investment strategies, including growth, buyout and hybrid.

ChrysCapital is a growth focused firm based in Mauritius. It has raised $2.3bn over the last 10 years and has an estimated $643mn in uncalled capital. Its most recent fund, ChrysCapital VI, closed in March 2012 and raised $510mn. The firm focuses its investments across Asia and emerging markets with a particular focus on India. The main industry focuses for ChrysCapital include business services, consumer goods and services, financial services, and manufacturing.

The largest South-Africa based fund manager is Ethos Private Equity, which has raised $1.6bn in aggregate capital commitments over the last 10 years. The buyout shop has raised seven funds since it established in 1984. Its most recent fund, Ethos Private Equity Fund VI, reached its final close in January 2013. The fund raised $800mn, exceeding its target by $50mn. The firm invests in Sub-Saharan Africa with its main focus on South Africa in a wide range of industries including mining services, service providers and construction and food.

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