Adenia Africa Fund, managed by private equity firm Adenia Partners Ltd., has successfully raised $470 million for investment in key sectors across the continent, including fintech, telecommunications, and healthcare.
This latest fund represents Adenia’s largest Africa-focused fund to date and has attracted new investors such as Norfund AS, the US International Development Finance Corp., and Canada’s Findev Inc. Notably, Africa’s largest fund manager, the Public Investment Corp. Ltd., along with Ghanaian and Kenyan pension funds, also backed the Adenia fund.
Managing Director Alexis Caude highlighted that this marks Adenia’s fifth fund, with an increased equity cheque size for targets averaging about $40 million. Caude emphasized the fund’s focus on larger economies and businesses where they can take a controlling stake, ranging from 51% to 100%, to exert influence and drive strategic decisions.
Caude outlined the investment conditions, stressing the importance of providing investors with attractive returns and exit options. Adenia targets net returns of at least 15% in hard currency and prefers controlling stakes in businesses to facilitate exit strategies. Despite the challenging investment landscape in Africa, Adenia believes in leveraging its controlling stakes to attract strategic investors and navigate complex exit processes.
Operating on the continent for the past two decades, Adenia faces competition from other private equity firms but remains focused on its investment strategy. The firm is currently engaged in a carve-out deal with Air Liquide SA involving 12 African operations and has expanded its presence to Nigeria, despite the challenges, recognizing its potential as a large economy.
Caude highlighted Adenia’s operations across seven African countries, with 21 investment professionals, and noted that older investors have doubled their commitments on average. Adenia’s track record and strategic approach position it as a key player in driving investment and growth across Africa’s vital sectors.
As Adenia continues to expand its footprint and investment portfolio, it remains committed to driving positive impact and delivering value to investors and the African economies it serves.
