The Board of Directors of the African Development Bank Group approved on Friday, July 20, 2018, a € 20 million equity investment in the Maghreb Investment Fund Private Equity Fund IV (MPEF IV), AfricInvest.
This equity investment will help accelerate the development of mid-cap companies in North Africa with strong growth potential in the region and in sub-Saharan Africa.
The objective of the MPEF IV Fund is to achieve a capitalization of 200 million euros and finance the growth of about fifteen companies with strong local presence. Investments will range between 8 and 25 million euros and are expected to generate around 2,700 jobs, of which 30% for women.
“This project will strengthen the investment capabilities of midsize companies, which will be able to expand into new high value-added markets in sub-Saharan Africa,” said Mohamed El Azizi, Executive Director of the African Bank. development plan for the North Africa region.
“With this new operation, we aim to bring out African companies that are champions in their fields and strengthen their integration into African and global value chains,” said Abdu Mukhtar, director of the department of industry and industry development. trade at the Bank.
Although it accounts for less than 4% of all trade on the continent, trade within North Africa shows a potential for development that can further strengthen the dynamics of regional integration (Algeria, Egypt, Morocco and Tunisia).
In line with the Bank’s Ten-Year Strategy and Private Sector Development Policy, this equity investment echoes two of its top five priorities, High 5: Industrializing Africa and Integrating Africa.
About the Africinvest Fund
Born in 1994, AfricInvest is a pan-African private equity group with nine offices, including seven in Africa, which invests in small and medium-sized enterprises that can grow on the African continent.