EDC invests $7M in Nigerian equity fund
Export Development Canada is investing $7 million in a Nigerian fund that will develop business opportunities between Canadian and Nigerian companies.
OTTAWA: Export Development Canada (EDC) is investing $7 million in a Nigerian fund that will develop business opportunities between Canadian and Nigerian companies.
The Ottawa-based export finance agency said the Capital Alliance Private Equity III fund will focus on sectors of key importance to the country’s economic development, such as power, oil and gas, telecom, and financial services, which mirror Canada’s strongest export sectors.
“ACA’s existing portfolio and pipeline companies already have strong connections to Canada and are already creating opportunities for incremental Canadian trade with Nigeria,” said Jennifer Brooy, EDC’s vice-president of equity. “The fund’s focus on the emergence of a very nascent economy should not only provide EDC with the opportunity to help position Canadian companies for long-term growth, but also above-average investment returns.”
The fund is targeting $350 million in committed capital, and is focused on private growth capital and buyout investments principally in Nigerian companies.
African Capital Alliance Ltd. is a Nigerian-based alternative and ethical asset manager operating out of Lagos with 13 years of experience investing in private equity transactions in Nigeria and neighbouring countries.