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ECP closes $523m private equity fund for Africa25/05/2007. Source: AltAssets. 
 Emerging Capital Partners, a private equity firm focused on investing across the African continent, has closed its EMP Africa Fund II on $523m.
Africa Fund II seeks majority or minority positions in companies through equity, quasi-equity and convertible debt instruments, especially in the telecommunications, natural resources, financial services, agribusiness, transportation and utility sectors. The fund invests in companies with operations based in countries throughout Africa, with a focus on larger markets such as Nigeria, South Africa, Egypt and Kenya.
The majority of strategic and financial investors from the AIG African Infrastructure Fund (Africa Fund I) also committing to EMP Africa Fund II. These institutions were joined by new investors, which provided roughly half of the fund's capital. Investors include pension funds, financial institutions, foundations, high-net-worth individuals and development finance institutions.
'ECP's established track record has shown that the perceived risk of investing in Africa is greater than the actual risk,' said Thomas Gibian, CEO of ECP. 'Within African markets, there are companies that are appropriate private equity destinations. ECP holds these companies to the same governance and transparency standards as companies based in any other market. These companies can provide above-market returns that are historically uncorrelated to the US and other global economies.'
ECP has already made several investments through Africa Fund II, including Anvil Mining (Democratic Republic of Congo), Ecobank Transnational Incorporated (pan-African), Spencon International (East Africa), Continental Reinsurance (pan-African), Notore Chemical Industries (Nigeria), Artumas Group (Tanzania and Mozambique) and Bank of Africa (pan-African).
The EMP Africa Fund II is the fifth fund managed by ECP, following the Africa Fund I, the West Africa Growth Sicar, the Central Africa Growth Sicar and the Moroccan Infrastructure Fund, and is bringing the firm's total capital raised for African investments to more than $1bn.
ECP spun out of EMP Global in 2005. The ECP team operates from offices in Washington, D.C.; Abidjan; Casablanca; Douala; Johannesburg; and Tunis.
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