Phoenix Capital Management and South Africa's PIC Want to Launch a Second Fund in West Africa
17 December 2014
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Text: The Ivorian group Phœnix Capital Management and the South African Public Investment Corporation plan to create a second private equity fund in West Africa in one year, and to position themselves in the structured pension fund market as well as the real estate sector.
The horizon of the capital partnership and co-investment sealed at the end of March between the Ivorian group Phœnix Capital Management (PCM) and Public Investment Corporation (PIC), the largest African fund manager, through the West Africa Emerging Market Growth Fund (WAEMGF) seems full of promise.
Daniel Matjila, director and investment director of PIC, and Michel Abrogoua, president and founder of the PCM group, repeat in unison that it is time to "strengthen and expand" this alliance, "beyond its current private equity field".
Intermediary
The two partners plan, on the one hand, to "launch, with the other PCM partners, at the end of 2015-beginning of 2016, a second private equity fund with a larger financial envelope than the 50 million dollars" in favor of West African SMEs and in sectors of activity such as energy, mining and infrastructure, which have "a significant social impact" and are "catalysts for economic development", specifies Daniel Matjila.
On the other hand, they intend to "draw on PIC's expertise and century-long experience" to act as an intermediary in setting up structured pension funds and financing the real estate sector.
"We have developed real expertise in financing these sectors in southern Africa and we are well placed and willing, with the support of the PCM group, to replicate this experience in West Africa", assures Daniel Matjila.
Portfolio
PIC, which manages more than 150 billion dollars in assets, plans to invest around 7 billion dollars in sub-Saharan Africa. The South African company has already invested more than 539 million dollars in West Africa, particularly in Ecobank and Dangote Cement, an amount that should grow considerably with the strengthening of the link with PCM, affirms, convinced, the number 2 of PIC. And for good reason, he argues: "The quality of the work carried out by the WAEMGF in Ivory Coast and Ghana is already very appreciable. More than 25% of the fund's capital has been invested over the past six months and the quality of the fund's project portfolio bodes well for significant investments in 2015".
jeuneafrique.com
Article posted on December 17, 2014
The horizon of the capital partnership and co-investment sealed at the end of March between the Ivorian group Phœnix Capital Management (PCM) and Public Investment Corporation (PIC), the largest African fund manager, through the West Africa Emerging Market Growth Fund (WAEMGF) seems full of promise.
Daniel Matjila, director and investment director of PIC, and Michel Abrogoua, president and founder of the PCM group, repeat in unison that it is time to "strengthen and expand" this alliance, "beyond its current private equity field".
Intermediary
The two partners plan, on the one hand, to "launch, with the other PCM partners, at the end of 2015-beginning of 2016, a second private equity fund with a larger financial envelope than the 50 million dollars" in favor of West African SMEs and in sectors of activity such as energy, mining and infrastructure, which have "a significant social impact" and are "catalysts for economic development", specifies Daniel Matjila.
On the other hand, they intend to "draw on PIC's expertise and century-long experience" to act as an intermediary in setting up structured pension funds and financing the real estate sector.
"We have developed real expertise in financing these sectors in southern Africa and we are well placed and willing, with the support of the PCM group, to replicate this experience in West Africa", assures Daniel Matjila.
Portfolio
PIC, which manages more than 150 billion dollars in assets, plans to invest around 7 billion dollars in sub-Saharan Africa. The South African company has already invested more than 539 million dollars in West Africa, particularly in Ecobank and Dangote Cement, an amount that should grow considerably with the strengthening of the link with PCM, affirms, convinced, the number 2 of PIC. And for good reason, he argues: "The quality of the work carried out by the WAEMGF in Ivory Coast and Ghana is already very appreciable. More than 25% of the fund's capital has been invested over the past six months and the quality of the fund's project portfolio bodes well for significant investments in 2015".
jeuneafrique.com
Article posted on December 17, 2014
