Thursday 21 August 2014
Private Equity Unlocking Africas Potential 2014
Download the pension private Equity Unlocking Africas Potential 2014 .pdf
2014 East Africa Private Equity Confidence Survey

As in the previous years, the survey has three parts:

  • A review of the 2013 data, based on Africa Assets’ database
  • Text boxes looking into some industry trends and developments, and
  • The actual confidence survey, managed by the Deloitte Nairobi office, which aggregates industry feedback on their 2014 expectations.

In 2013, investment activity has recovered from the 2012 slump: Private equity (PE) firms invested in 84 deals across sub-Saharan Africa in 2013 (2012: 58), and the values disclosed for 46 deals amounted to USD3.69bn, compared to USD1.13bn for 38 deals in 2012. Fundraising for Africa-focused PE funds was strong in 2013, totalling USD3.58bn. Nearly half of this is going to funds with a continent-wide mandate.

Private Equity Confidence Survey 2013-14(1).pdf
Alternative Intelligence Brief 02-2013

In our second AI Brief (02-2013), our main thematic focus is risk: What are the risks facing PE investors, how can they be managed, and are new investors at a disadvantage to the veterans?

Also in this edition:

  • Deals data and analysis
  • Funds data and analysis
  • Sector snapshot: PE investing in financial services, and
  • Capital watch: MENA
Alternative Intelligence Brief 02-2013.pdf
Alternative Intelligence Brief 01-2013

We are proud to launch the first edition of our new Alternative Intelligence Brief. In this first edition, you will find:

  • SME Investing: Show Us the Money
  • Jan-April 2013 deals and fund activity
  • Country Snapshot: Ethiopia
  • Country Interview: AFDB's Gabriel Negatu on investing in Ethiopia
  • LP Watch: DFIs out of the door?
  • Legal Brief: Triple Red Tape for East African M&A

We plan to publish the AI briefs every two months. The first two editions will be free, and then they will be included in the regular data subscription or you will be able to take out a separate subscription.

Let us know what you'd like to read about - we are looking forward to your feedback! Answers on a postcard or to info@africa-assets.com

 

 

 

Alternative Intelligence Brief 01-2013.pdf
2012 Private Equity Confidence Survey: Beyond the Waves

In this edition, we have begun to include the Northern, Western, Southern and Central African regions, although the focus is still on East Africa. This was done for two reasons: to give a pan African view of PE sentiment, and to capture the relative performance of the Eastern African region against other African regions.

As in the previous year, the survey has three elements:

  • Data review: From our Africa Assets database, a review of investment activity in 2012.
  • Review of industry trends: a few highlights of trends and developments in PE investing in sub Saharan Africa in 2012.
  • Looking ahead: the survey responses provide an overview of which sectors and regions PE funds expect to focus on, and how they expect the industry and different regions to develop.

Download the full survey here

 

 

 

Private Equity Confidence Survey 2012-13.pdf
2011 East Africa Private Equity Confidence Survey: Promising 2012

2012 looks promising: The results of the second private equity confidence survey indicate that there is an increased appetite for investment in private equity ventures in East Africa. East Africa experienced a significant influx of private equity interest in 2011. New East Africa-focused funds are targeting high-growth small and medium enterprises in consumer-driven sectors. Investors have also begun to explore deals in new markets in Ethiopia, South Sudan and the Democratic Republic of Congo.

 

While investment sizes remain limited, several large deals were closed in 2011, and investors expect deal size to creep up over time. General partners with wider African mandates are also moving into the sub-region. These funds are active across infrastructure, real estate, health care, agribusiness and green energy, in addition to consumer-driven sectors. Venture capital (VC) funding is still scarce. However, Kenya has begun to stand out as an ICT hub, with help from technology incubators and increasing interest from local and international VC firms.

 

Many investors see East Africa’s strong growth potential as a driver of better investment performance than in South Africa: This is a huge shift in private equity attitudes toward Africa, which have been historically focused on South Africa. East African investment potential is seen as roughly on par with West Africa, where similar growth dynamics are at play.

 

Optimism brought about by positive changes in the East African private equity landscape has led to increased investor confidence. There is a dominant investment mood exhibited by GPs, and the survey indicates that the investment appetite is growing. As private equity enthusiasm continues to spread across Africa in 2012, East Africa will certainly be a hot spot to watch.

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