ShoreCap III

Africa

Equator Capital Partners LLC is a Chicago-based investment management firm that offers portfolio management, consulting, and financial planning services.  The firm’s ShoreCap family of funds invest in inclusive financial services in Asia and Africa.

The ShoreCap III fund, which will be run from the firm’s offices in Abidjan, Johannesburg and Chicago, is targeting $150 million to expand access to financial services in sub-Saharan Africa.

Equator’s first two ShoreCap funds raised $108 million and invested in 25 financial institutions.

Our investment

In December 2017, we made a $20 million commitment to ShoreCap III, alongside the African Development Bank, the European Investment Bank, German development bank KfW, and Austrian development bank OeEB. The fund manager raised a total of $62 million for its first round, and expects to make investments of about $8 million per institution. Our investment will be used to support microfinance institutions, small business banks, financial technology (fintech) projects, insurance and housing finance across the region.

Expected impact

A large section of the African population has minimal or no access to affordable financial services, particularly in more rural and less well-connected areas.

Our investment will enable the fund manager to increase access to affordable and responsible financial products and services for the underserved African market.

It will also support businesses looking to use innovative technologies to drive geographical expansion, including fintech firms that deliver cross-border financial services.

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
Website:
http://www.equatorcap.net/
Investment type

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

:
Intermediated investment
Fund manager:
Equator Capital Partners
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

:
December 2017
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.

:
$20m
Domicile

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

:
Mauritius

Investments made by this fund

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