Abraaj Africa Fund III

Africa Financial services, Manufacturing, Other consumer services

The Abraaj Group, formerly Aureos Capital, is an international investment firm investing in emerging markets across Africa, Asia, Latin America, the Middle East and Turkey.

The Dubai-based firm focuses on investment strategies across private equity, private credit, impact investing and real estate.

.The Abraaj Africa Fund III focuses on well-managed, mid-market leaders in sectors set to benefit from demand driven by the rapid expansion of a young, urban, middle class across sub-Saharan Africa.

These sectors include consumer goods and services, consumer finance, and resource and infrastructure services in the core geographies of Nigeria, Ghana, Cote d’Ivoire, South Africa and Kenya.

Our investment

In 2014, CDC invested $50 million into Abraaj Africa Fund III, alongside Dutch DFI FMO and private investors. The fund closed at a total size of $990 million. Our investment provides growth capital for mid-market enterprises in key territories.

Expected impact

Africa’s momentum for growth continues, as the continent’s economies continue to diversify away from resources and focus on the potential offered by increasing urbanisation and a growing class of young consumers.

Our investment enables the fund manager to tap into this expanding appetite for goods and services. It will also help attract commercial capital to the region.

Abraaj also provides strategic and managerial assistance for its investee companies, helping local African businesses to expand across the region.

Success stories include cornerstone investments in Liberty Star Consumer Holdings (one of South Africa's leading FMCG manufacturers), Java House (a Nairobi-based coffee chain), and Joint Medical Holdings (a hospital group in South Africa).

Environmental and social aspects

The fund manager has a well-established approach to environmental and social management and we will continue to support and monitor its approach as the portfolio grows.

Key facts

Status:
Active
Region

Since 2012, we’ve only invested in Africa and South Asia. Investments outside these regions are from our pre-2012 portfolio.

:
Africa
Countries

For funds, the countries listed here are those the fund has invested in so far.

:
Ghana, Kenya, Nigeria, South Africa
Sector

We have seven priority sectors. However, we continue to invest outside these sectors, largely in the most challenging regions, as new investment supporting any sector helps to underpin the private sector, and create jobs and livelihoods for people. For funds, the sectors listed here are those the fund has invested in so far.

:
Financial services, Manufacturing, Other consumer services
Website:
https://www.abraaj.com/
Investment type

We provide capital in three broad ways: direct equity, debt, and intermediated equity (principally through investment funds).

:
Intermediated investment
Fund manager:
Abraaj Capital
Start date

For direct investments, this is the date CDC committed capital to the business or project.

For funds, this is the date that CDC committed capital to the fund.

For underlying fund investments, this is the date that the fund invested capital into the business.e

:
June 2015
Amount

For direct investments, this is the total amount that CDC has committed to the business or project (it may be a combination of equity and debt).

For funds, this is the total amount that CDC has committed to the fund.

:
$50m
Domicile

This is the investee company’s place of incorporation; or a fund’s jurisdiction.

:
Cayman Islands

Investments made by this fund

  • Active
  • Exited
Investment name Country Region Sector Start date Status
Libstar

Libstar is an FMCG manufacturer operating in the food and beverage and household and personal care segments, supplying the market via private label offerings, branded products and contract manufacturing.

View investment details

South Africa Africa, Southern Africa Other consumer services May 2015 Active
Mouka Limited

Mouka Limited is a private Nigerian company which manufactures polyurethane (foam) used in making mattresses, furniture and other products. The company is the leading polyurethane company in Nigeria with its products sold across the country.

View investment details

Nigeria Africa, West Africa Manufacturing June 2015 Active
Indorama Eleme Fertilizer & Chemicals Limited

Indorama Eleme Fertilizer & Chemicals Limited, Nigeria (IEFCL) is an Indonesian-based manufacturer of petrochemicals and associated downstream products that operates in 19 countries. The company will build and operate a fertilizer production facility near Port Harcourt, Nigeria, along with an 84km pipeline to transport gas to the plant.

View investment details

Nigeria Africa, West Africa Manufacturing October 2016 Active
Ghana Home Loans

Ghana Home Loans is a full service mortgage finance house. Its five main products are First Time Buyers, Buy To Let, Equity Release, Refinance and Home Completion.

View investment details

Ghana Africa, West Africa Financial services December 2016 Active
Nairobi Java House Limited

Java House operates casual dining retail brands in Kenya, including Nairobi Java House, a coffee shop/restaurant that offers coffee, drinks and food to customers; Planet Yogurt, which sells frozen yoghurt; and 360 Degrees Artisan Pizza.

View investment details

Kenya Africa, East Africa Other consumer services September 2017 Active
Joint Medical Holdings (Pty) Limited January 2018 Active