The Investisseurs & Partenaires (I&P) impact investment group, dedicated to African small and medium-sized companies, completed the interim closing of the I&P Afrique Entrepreneurs 2 (IPAE 2) fund, enabling it to reach a total amount of 75 million euros.
To date, IPAE 2 has invested in four SMEs and aims to support more than thirty companies in sub-Saharan Africa by 2022. IPAE 2 is following the IPAE 1 fund, which has invested in 29 African companies and which has recently announced two exits [FRENCH].
I & P Afrique Entrepreneurs 2 was launched in December 2017 with the first closing of 50 million euros.
The second closing amounted to 25 million euros and allows several well-known investors to join the fund, including the Belgian Investment Company for Developing Countries (BIO), the Stichting fondsbeheer DGGF lokaal MKB, Bpifrance, Crédit Coopératif, FPS Mirova Solidaire or the World Bank through the private sector window of the International Association for Development (IDA).
The IPAE 2 fund brings together a diverse panel of investors, including public investors (IFC, PROPARCO, European Investment Bank, BIO, DGGF, Bpifrance ...), private and corporate investors (AXA Impact Fund, Société Générale ...), as well as several family offices and foundations.
IPAE 2 is on track to reach its target size of between €80 and €90 million and will complete a third and final closing by the end of the first half of 2019. It is now one of the largest more critical in the field of impact funds dedicated to African SMEs. While the latter are increasingly identified as essential players for inclusive growth on the continent, they still face many obstacles, including access to finance and skills.
I & P has also raised a technical assistance budget from several of its public investors of € 2.9 million, which will complete the support provided by the team through the performance of expert missions in the fields of activity of the company or on the social, environmental and governance levels.
IPAE 2 aims to invest in equity and quasi-equity in the minority in 30 to 40 startups and companies located in Sub-Saharan Africa and the Indian Ocean, thus continuing the mission of the Investors & Partners group to promote a new generation of entrepreneurs African. The investment team dedicated to IPAE has around ten members, based in Paris and six African offices (Burkina Faso, Cameroon, Ivory Coast, Ghana, Madagascar and Senegal).
The fund has already invested in four African SMEs, operating in a wide range of sectors: Afribon, specialized in the development, production and marketing of food flavorings, the African Management Initiative (AMI), specialized in the professional training of African entrepreneurs and managers, CoinAfrique, a 100% mobile community classifieds platform and PROCRÉA, an Ivorian clinic specializing in the field of reproductive health.