On Monday, investment bank Eczellon Capital Limited, announced its West African private equity fund with a potential target of US$250 million, This Day Live reported.
The investment bank is centred on the West African region, focusing on industries which directly influence the region’s economies such as energy and infrastructure, Mr Diekola Onaolapo, chief executive of Eczellon, told media.
Eczellon International will perform the management function and the workings will be monitored by an Investment Committee, which includes is Professor Florin Vasvari, a non-executive director of Eczellon Capital.
‘The fund will be for identified investment opportunities and already packaged deals in energy, infrastructure and a few other high growth sectors, even as it expects a strong deal flow beyond the already identified portfolio. In the main, the fund will invest in and support unlisted enterprises with high capital growth potentials over the medium to long-term (ranging from 3 to 5 years)’, Onaolapo said.
The firm has obtained US$140 million for various Nigerian enterprises in 2014 and has plans for the new fund to disperse finances to a wider recipient base in the relevant sectors.
‘Discussions and commitments are already at advanced stages with key prospective investors in the fund which include insurance firms, pension funds, development finance institutions and other qualified institutional investors, as well as high net worth individuals in Nigeria and across the Middle and Far East’, Onaolapo added.
He continued: ‘Fund raising is expected to close by Q4 2015 with first close occurring in the second quarter. The fund will be administered in tranches over a two-year period’.