Impact investors in Africa are not as many and several firms are making sure to encourage and bring toegther a network of investors both locally and internationally.
Building a network of 10 Sub-Saharan Africa-focused impact investing funds, five of which have already launched in Burkina Faso, Côte d’Ivoire, Madagascar, Niger and Senegal, sub-Saharan Africa-focused impact investment firm Investisseurs & Partenaires has reached a final close for fund of funds I&P Développement 2 (IPDEV 2) with EUR21 million (approximately US$25 million) in capital commitments.
Investors in the fund include the Adolf H. Lundin Charitable Foundation, the African Development Bank, BNP Paribas, Ceniarth, Soros Economic Development Fund and FISEA, an Africa-focused fund managed by Proparco. The fund reached a first close in October 2015 with EUR9.5 million (approximately US$11 million) in capital commitments. IPDEV 2 aims to build a network of 10 Sub-Saharan Africa-focused impact investing funds, five of which have already launched in Burkina Faso, Côte d’Ivoire, Madagascar, Niger and Senegal.
In addition to the US$25 million raised by IPDEV 2, the fund has reportedly secured EUR15 million (approximately US$18 million) from Africa-based co-investors, as well as a grant of EUR19 million (approximately US$22 million) for technical assistance and seed funding for SMEs.
Investisseurs & Partenaires is an impact investment group dedicated to African Small and Medium Enterprises. Since its creation in 2002, I&P has invested in more than 90 companies, located in 16 African countries and operating in various sectors of activity (health, transport, microfinance…). These enterprises create local added value and long-term employment, and generate important social, environmental and governance impact.
I&P provides capital, technical and strategic support to meet the growth needs of its portfolio companies. The team develops long term partnerships with entrepreneurs, sharing management expertise and knowledge that is useful for improving business strategy, structuring, and success. I&P manages four pan-African funds – IPDEV 1, IPDEV 2, IPAE 1 and IPAE 2, which represent a total of €135 million – and sponsors five African impact funds – Comoé Capital (Côte d’Ivoire), Miarakap (Madagascar), Sinergi Burkina, Sinergi Niger and Teranga Capital (Senegal).
Created by Patrice Hoppenot in 2002 and headed by Jean-Michel Severino since 2011, the I&P team comprises about forty collaborators in Paris and in its seven African offices in Burkina Faso, Cameroon, Côte d’Ivoire, Ghana, M