Alterra Capital Partners, a private equity firm focused on Africa, has announced a significant commitment of $20 million from British International Investment (BII) to its Alterra Accelerator Africa Fund (AAA Fund). This announcement marks a pivotal moment for the fund, which aims to support the growth of businesses across the continent.
Alterra Capital Partners was established in 2020 following the spin-out of the Carlyle Africa team. The firm later welcomed the Anglophone team from Emerging Capital Partners, further strengthening its expertise and capabilities in the African market.
The investment from BII will play a crucial role in the AAA Fund’s strategy to deploy capital into a diversified portfolio of businesses that provide essential consumer goods, services, and business solutions, with a primary focus on East Africa and Southern Africa. This alignment with BII’s mission underscores the importance of fostering economic growth in Africa’s emerging economies.
Sara Taylor, the head of Private Equity funds and co-investments at BII, expressed enthusiasm about the partnership, stating;
We are delighted to work with Alterra’s experienced team to advance our mission of empowering businesses that drive growth in Africa’s emerging economies. Our investment in the AAA Fund ensures our capital reaches a diverse range of companies, fostering productive, sustainable, and inclusive economic development.
Geneveive Sangudi, a partner at Alterra, also shared her excitement about BII’s involvement, saying;
We are thrilled to welcome BII as an investor in our fund. BII’s commitment adds invaluable credibility and resources to our strategy of advancing sustainable and inclusive growth in Africa. This commitment will further accelerate our efforts to invest in transformative businesses across the continent, particularly in high-growth and high-impact sectors including telecommunications, technology, business services, consumer, and retail.
In 2023, Alterra announced the first close of the AAA Fund at $140 million and continues to attract support from various development finance institutions and commercial investors. Notable supporters include the International Finance Corporation, Norfund, DEG, Standard Bank, Allianz AfricaGrow Fund, and the Public Investment Corporation. This growing network of investors highlights the confidence in Alterra’s strategy and the potential for impactful investments in Africa’s dynamic markets.
