EIB Global Invests €25 million in Amethis Fund III to promote sustainable growth of African businesses

 

 

 

• The has so far invested nearly €3 billion in equity funds with a geographic focus entailing Africa.
• In 2023, close to 60% of EIB’s fund investments were in Africa.
• Amethis has supported the growth of more than 30 African companies employing more than 40,000 people.

European Investment Bank (EIB Global) has invested €25 million into Amethis Fund III, a pan-African fund providing private equity growth capital to medium sized companies on the continent.

Amethis Fund III will target companies supplying goods and services to low and middle-income populations in Africa. The target sectors include healthcare, business services such as logistics & IT, manufacturing and distribution including agribusiness and fast-moving consumer goods, non-banking financial services, and services related to infrastructure and energy.

The fund’s strategy is aligned with EIB Global’s investment goals as well as the EU’s Global Gateway strategy by supporting economic development in a diversity of geographies, notably sub-Saharan countries. The fund will pursue an impact-driven strategy developed by Amethis to address critical issues for the continent’s sustainable development, by focusing on gender equality, sustainable employment – with a particular emphasis on health coverage, and climate considerations.

EIB Vice President, Thomas Ostros commented on the deal: “The EIB is happy to support Amethis in its effort to invest in small companies in low- and middle-income countries across Africa. We see Africa as a close and important partner to the Bank, which has a lot of potential and untapped opportunities. However, African enterprises still don’t have enough patient equity capital they need for them to grow, which is what our partnership with funds like Amethis seek to address.”

“Private capital is a powerful driver of economic development in Africa. Private equity funds, through investment in local enterprises, are playing a catalytic role by bringing external funding as well as knowledge and technical expertise to the companies they invest in,” he added.

Luc Rigouzzo and Laurent Demey, Managing Partners at Amethis said, “We are proud to receive the renewed support from the European Investment Bank. Building upon our prior collaborations, its strategic support will allow us to continue helping medium-sized companies deliver better good and services to the African consumers and to become African champions by promoting their regional integration and sustainable economic growth.”

The EIB has invested nearly €3 billion in equity funds with a geographic focus entailing Africa. Some of these funds are country-specific, while some have a regional focus. EIB’s early investment has had a catalytic effect in attracting other investors to invest in funds due to the Bank’s best market practice in terms of ESG applied, thus ensuring maximum impact at the level of portfolio companies.

12 years after its creation, Amethis has supported the growth of more than 30 African companies employing directly more than 40,000 people. These companies not only contribute to the development of a high-quality economic fabric, but also address important sustainable development goals for the continent.

Amethis benefits from a strong on-the-ground presence across four African capitals of Nairobi, Abidjan, Casablanca and Cairo, which helps identify new opportunities and monitor the market’s evolution in each country. It also allows Amethis to build a reputation for itself of trusted partner to accompany companies in their new expansion phases, favouring value creation and impact.

 

Background information

About EIB Global is the EIB Group’s specialised arm devoted to increasing the impact of international partnerships and development finance outside the European Union. EIB Global is designed to foster strong, focused partnerships within Team Europe and as part of the EU Global Gateway strategy, alongside fellow development finance institutions and civil society. EIB Global brings the Group closer to local people, companies and institutions through our offices around the world.

The EIB Group has been investing in Private Equity Funds for the past 30 years to promote sustainable development and inclusive growth. Funds act as collective investment vehicles with a Fund Manager being responsible for making any investments whose end goal is to generatea profit at exit stage.

About Amethis: Founded by Luc Rigouzzo and Laurent Demey, and member of Edmond de Rothschild Private Equity Partnership, Amethis is an investment fund manager active in Africa and Europe, with assets under management of €1 billion and more than 30 or so investments to date. Amethis provides growth capital to promising mid-sized champions in a variety of sectors, offering growth support through its international network covering Europe and Africa. With six offices in Paris, Abidjan, Casablanca, Nairobi, Cairo and Luxembourg, the Amethis team includes 50 experienced professionals with strong regional and sector expertise. www.amethis.com