IFC to commit $20m in SPE Capital Fund for firms in MENA.
Member of the World Bank Group, International Financial Corporation (IFC) is planning to commit up to $20-million in a Private Equity fund for small and mid-cap companies in the Middle East and North Africa (MENA) region.
“SPE AIF I” which is managed by SPE Capital Partners will mainly focus on Egypt, Morocco, and Tunisia.
The fund’s purpose is to support small and mid-cap companies to meliorate access to institutional capital and to increase growth.
Nabil Triki, CEO and Managing Partner of SPE Capital said, “There is a growing demand for such support because businesses are increasingly recognizing the benefits of institutional ownership and professional management”.
The investment is one of IFC’s strategy to cooperate with selected fund managers in key regions to satisfy the needs of fast-growing companies, to help mobilize additional institutional capital in high growth sectors and toughen capital markets.
“With IFC’s support, we hope to not only provide growth capital but also industry and value-creation expertise, which are all currently limited in MENA with focus on North Africa. There is a growing demand for such support because businesses are increasingly recognizing the benefits of institutional ownership and professional management”, Triki further stated.
Commenting on the investment, Beatrice Maser, IFC’s regional director for MENA explained, “By backing an experienced fund manager focused on the MENA market, IFC’s support will help signal the continued viability of private equity in the region.
“Greater access to such financing can help spur private sector development and job creation, which are both still much needed in the region” Beatrice added.
SPE AIF I (the “Fund”) is a private equity fund that targets small and lower mid-cap companies in Egypt, Jordan, Morocco, and Tunisia. The Fund seeks to achieve long-term capital growth by making equity and quasi-equity investments in enterprises.
SPE capital is an independent Private Equity firm that invests in Africa and the Middle East. It is was formed in 2016 by Swicorp a leading regional investment banking firm.
IFC is a sister organization of the World Bank and a member of the World Bank Group which is the largest global development institution focused on the private sector in developing countries. The Bank Group aims to end extreme poverty and promote shared prosperity in every country by 2030.
Source:
https://disrupt-africacom/2020/04/north-african-companies-to-benefit-from-ifc-investment-in-pe-fund/