August 14th, 2017
The  weekly roundup of Africa's Private Capital news


  

Here's the latest wrap of Africa's key private equity, infrastructure and venture capital deals and industry news which was reported over the past 7 days. W e'd be delighted if you shared it with any interested colleagues and/or business partners.  If they would like to receive their own weekly copy, they're more than welcome to sign up here.  

Many thanks for being a reader. If you have any tips, suggestions or questions, please reach out to Allan Cunningham at acunningham@africacapitaldigest.com
This week's issue supported by...             
The Week in Brief...
For the biggest private equity deal announced in Africa last week, we have Capitalworks to thank. The South African investor has agreed to buy listed poultry producer Sovereign Foods in an all-cash deal for R907 million or about $67 million.
The offer, which is subject to approval by the Competition Commission,  represents an almost 19% premium on the stock's 30-day trailing average and a 33.3% premium over the price offered by Country Bird Holdings in its failed bid for Sovereign Foods last year.

Enko Capital is making an expansion capital investment in AMI Logistics, a Dubai-headquartered logistics business with significant operations in East and Southern Africa. The $7 million transaction gives the $64 million Enko Africa Private Equity Fund a significant minority stake in the company, as well as a seat on AMI's board. Among other things, capital will be used to fund AMI's acquisition of Manica Holdings, an established freight-forwarding and logistics business operating with five operating subsidiaries in South Africa, Zimbabwe, Zambia, Malawi and Botswana.

Harith General Partners have agreed to acquire a 30% stake in Sheltam Mauritius, a rail operator which owns and operates one of the largest privately-owned fleet of mainline locomotives throughout Southern Africa. Financial terms of the deal were nt disclosed.  In the first instance, the deal allows the Sheltam to bring some planned projects to conclusion, including a substantial reinvestment in the firm's existing fleet of locomotives, the purchase of an additional three General Electric C30EMP locomotives as well as starting the development of Sheltam's own workshop.

In fundraising news, A.P. Moller Capital, an affiliate of the Maersk shipping line family's A.P. Moller Holding, will manage a new Africa-focused infrastructure fund which held a $550 million close last week, garnering commitment from several anchor investors. The fund, which is targeting $1 billion in time for a final close at the end of the year aims to deliver returns in the high teens as well as deliver significant economic, social and governance impact in the assets and regions in which it invests.

Other fundraising items last week concerned possible fund commitments by DFIs. Ethos Private Equity looks to be in line for an investment of $20 million by the European Investment Bank in Ethos Mezzanine Partners 3, its $150 million generalist fund which launched in February this year. Separately, the IFC is mulling a total of $45 million in commitments to a trio of Africa-related private equity funds.  All three have a North African investment component as part of their strategies. Of the total, $10 million is being considered for Beco Capital's latest venture fund, with Mediterrania Capital Partners planned third fund and AfricInvest's Maghreb Private Equity IV each possibly garnerig €15 million.

A couple of portfolio companies were involved in their own deals last week. Helios Towers Tanzania, a full subsidiary of private equity-backed Helios Towers Africa, is buying up all the mainland tower sites belonging to Zanzibar Telecom. The transaction involves buying 185 of Zantel's towers whilst consolidating another 385, giving Helios Towers Tanzania's a portfolio of towers which now numbers around 3,700 sites. Additionally, new Africa market entrant iflix landed $133 million in additional funding last week. Earlier this year, the emerging markets-focused video-streaming company raised $90 million to support its expansion ambitions in the Middle East and Africa, since when the firm has opened a Cape Town office. This latest round of funding was led by Hearst, the large American diversified media company.

Novastar Ventures, the East African venture firm, reported an active first half. The firm made three new deals and three follow-on investments for its $80 million East Africa Fund I which closed in 2015. . The specifics of each transaction remain undisclosed. So far, the fund has backed thirteen businesses, all targeting Africa's aspiring mass market, where it lives and what it spends its money on.

That's it for this week.  As always, you can review these and other stories by scrolling down and clicking through to them below.  

Capitalworks agrees to buy South African poultry producer Sovereign Foods for $67 million
Deals and Deal News...
Private Equity
Capitalworks agrees to buy Sovereign Foods for $67mln
Capitalworks has had its offer to buy out Sovereign Foods accepted by the JSE-listed poultry producer's Board of Directors.
Private Equity
Enko Capital in AMI Logistics expansion capital deal
Enko Capital has made an expansion capital investment in AMI Logistics, a Dubai-headquartered logistics business with significant operations in East and Southern Africa.
Private Equity
Harith acquires 30% stake in Sheltam Mauritius
Harith General Partners, managers of Pan African Infrastructure Development 2, have agreed to acquire a 30% stake in Sheltam Mauritius, a rail operator.
Venture Capital
Novastar caps busy first half with 6 deals
Novastar Ventures had an active first half, making three new deals and three follow-on investments for its $80 million East Africa Fund I.
Venture Capital
SnapnSave raise R14mln from Kalon and Smollan
Kalon Venture Capital and Smollan Group are each backing  SnapnSAve, the South African retail discount app company with R7 million or $500,000.
Funds & Fundraising News...
Infrastructure
A.P. Moller Capital leads $550mln Africa infrafund close
A.P. Moller Capital, an affiliate of the Maersk shipping line family's A.P. Moller Holding, will manage a new Africa-focused infrastructure fund which held a $550 million interim close last week, garnering commitments from several anchor investors.
Private Equity
IFC mulls $45mln for 3 Africa private equity funds
IFC, the World Bank's development finance institution is mulling whether to make a total of approximately $45 million in commitments to three Africa-related private equity funds.
Private Equity
Ethos' latest mezzanine fund in line for EIB commitment
The European Investment Bank is considering an investment of $20 million in Ethos Mezzanine Partners 3, a $150 million generalist fund which launched in February this year.
This week's issue supported by...             
Power Nigeria
Projects & Portfolio Companies...
Media
iflix lands $133mln from Hearst-led consortium
iflix, a private equity-backed video-streaming business which raised $90 million earlier this year to support its expansion ambitions in the Middle East and Africa, has raised another $133 million.
Telecoms
Helios Towers Tanzania buys Zantel's mainland assets
Helios Towers Tanzania, a full subsidiary of private equity-backed Helios Towers Africa, is buying up all the mainland tower sites belonging to Zanzibar Telecom.
Trends & Perspectives...
Kudos Image
Trends
Participant call for groundbreaking ESG survey 
KudosImpact Pulse, a groundbreaking survey assessing and analyzing the extent to which Africa's unlisted companies are adopting the ESG best practices, is inviting you and your private portfolio companies to take part, in confidence. The results, to be published in December in association with Africa Capital Digest, will be eagerly anticipated. To take part in this year's survey, click here today.
Sectors & Strategies...
Technology
Google steps up its pace in Africa
Following CEO Sundar Pichai's recent trip to Lagos, the global internet giant has announced a number of new initiatives for the continent.
Fintech
Innovative startups in burgeoning payments sector
With venture capitalists laying out $5.5 billion for payments startups in 2016, a look at some of South Africa's innovative startups making waves in the burgeoning payments space.
Real Estate
Top 5 Africa real estate funds raised of the last 5 years
Real estate opportunities in Africa continue to attract the interest of domestic and international investors alike..
Companies, People & Profiles...
People
Fagbule promoted to AFC's Head of Financial Advisory
Africa Finance Corporation has promoted Fola Fagbule to be the multilateral finance institution's new Head of Financial Advisory.
People
Africa50 taps Gupta as investor relations head
Africa50, the infrastructure investment platform backed by African Development Bank and more that twenty African countries, has appointed a new investor relations head.
People
Former Reckitt EM CEO to chair Silvertree's board
Silvertree Internet Holdings has appointed Freddy Caspers as non-executive Chairman of the technology-focused investment holding company's board.
Current Job Postings...
This week's featured jobs...             
Chief Investment Officer, Energy Financial Solutions at AfDB  // afdb.org
Based in Abidjan, Côte d'Ivoire
Chief Executive Officer of Africa Venture Philanthropy Association  // ivpc.global
Based in Nairobi, Kenya
Investment Director & Team Lead, DFID Impact Accelerator Fund at CDC  // cdcgroup.com
Based in London, United Kingdom
Senior Investment Officer at AfDB  // afdb.org
Based in Abidjan, Côte d'Ivoire
Principal, Investment Advisory at CrossBoundary  // crossboundary.com
Based in Nairobi, Kenya
Investment Officer at African Capital Alliance  // acagp.com
Based in Lagos, Nigeria
Executive, Development Impact (Financial Institutions) at CDC  // cdcgroup.com
Based in London, United Kingdom
Investment Associate at CrossBoundary  // crossboundary.com
Based in Washington, DC, United States
Investment Associate at CrossBoundary  // crossboundary.com
Based in Johannesburg, South Africa
Investment Associate at CrossBoundary  // crossboundary.com
Based in Bamako, Mali
Investment Associate at CrossBoundary // crossboundary.com
Based in Nairobi, Kenya
Portfolio Assistant at IFC  // ifc.org
Based in Johannesburg, South Africa
Upcoming Conferences...
Highlighted Event...             
Nigeria Com 2017
Lagos, September 20th to September 21st, 2017 
Public Private Partnership Financing, Projects & Contracts
Johannesburg, August 21st to August 24th, 2017 
Power Nigeria 2017
Lagos, September 5th to September 7th, 2017 
Bonds, Loans & Sukuk Kenya Briefing Day 2017
Nairobi, October 3rd, 2017 
Powering Africa: Nigeria 2017 
Abuja, October 4th to October 5th, 2017 
Sub Saharan Africa Power Summit
Cape Town, October 25th to October 27th, 2017 
META Projects 2017
Dubai, November 1st to November 2nd, 2017 
Finnovation Africa: Ethiopia 2017 
Addis Ababa, November 3rd, 2017 
AfricaCom 2017
Cape Town, November 7th to November 9th, 2017 
International Islamic Banking Summit Africa 
Djibouti, November 8th to November 9th, 2017 
Bonds, Loans & Sukuk Nigeria Briefing Day 2017
Lagos, November 20th, 2017 
African Agri Investment Indaba 2017
Cape Town, November 20th to November 22nd, 2017 
9th Africa Public Private Partnership Conference 
Cape Town, November 23rd to November 24th, 2017 
Gas Options North & West Africa 
Marrakech, November 29th to November 30th, 2017 
Africa Renewable Energy Forum 
Marrakech, November 30th to December 1st, 2017 
SuperReturn Africa
Cape Town, December 4th to December 6th, 2017 
And finally...
We hope you found the digest to be a useful summary of the major happenings in Africa's private capital markets last week.  We'd love it if you shared it with colleagues and business partners.  They can sign up for free, for the moment,  here.  

Best wishes for a productive week - if you have any tips, suggestions, questions or comments, please get in touch.

All the best,
 
- Allan
 
Allan Cunningham
Editor & Publisher
AfCD | Africa Capital Digest

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