Well well, here we have some serious ‘talk’!! I am of course reffering to my post some weeks ago where I write about Investments in Africa and conclude: “So there is definitely an interest in Africa seen from an investment perspective, but as with so many other things in life, there is a heck of a difference between ‘walk’ and ‘talk’! Situation is, that Africa currently only attracts less than 5% of all Foreign Direct Investments (FDI).”
So who is it, that has taken this crucial step? UK based Helios Investment Partners has just raised $900 million for its second African fund (“Helios Investors II”) … the largest ever private equity fund for investments in Africa!!
I found the good news in an article in The Wall Street Journal – here are three key take aways from the article that I want to share with you:
- The new fund will focus on high-growth sectors such as Technology, Media & Telecommunications, and Financial Services. This fits very well with the sectors that E&Y had in their Africa attractiveness report. I personally fancy that Helios also see the Financial sector as a space to further invest into. If you know somebody in Helios we should talk to, you know my mail address.
- Due to the turbulent financial landscape the last couple of years, Helios was faced with challenges in raising the funds, but they succeeded (the next bullet point kind of delivers a ‘no brainer’ as to why they could defy challenging times)
- Returns from “Helios I” (their first Africa fund) are above 35% gross… nothing less than impressive!!
I guess Helios has figured out that: Africa has one of the fastest economic growth rates and highest returns on investment in the world... and continuously put one foot in front of the other (my definition of ‘walking’).