AGCF: Equity investment to support the development of midcaps in emerging countries
Multi-country Global
PROPARCO is making an equity investment in Abraaj Global Credit Fund (AGCF). This fund invests in high-growth midcaps in emerging countries by offering them innovative financing solutions which are scarce in these countries.
Client presentation
AGCF is Abraaj Group’s first initiative in the context of the development of the Mezzanine and Private Debt area of its strategy. Abraaj Group is one of the leading venture capital players in emerging countries with over USD 10bn under management and over 300 employees, including 180 operational staff in 17 offices around the world.
Note: This fund continues to be overseen by a team of experienced investment professionals under the supervision of the provisional liquidator of the Abraaj Group. The credit fund offers innovative financing solutions in emerging markets and participates in the development of the local economic fabric, in a region where access to capital remains scarce.
Project description
AGCF is a Mezzanine fund with a target size of USD 500m which finances high-growth midcaps in emerging markets. The fund offers innovative financing solutions which are not readily available on the targeted markets. AGCF has a team of 16 people who are also supported by the entire Abraaj Group network.
Project impact
The main positive impacts relate to:
- The creation and preservation of some 4,700 jobs;
- A role in boosting capital markets in emerging countries, by targeting geographical areas where this type of financing is still limited;
- A contribution to private sector development, thanks to innovative financing solutions that support the development of the vast majority of target companies (capex financing, refinancing to free up cash flows, external growth);
- Positive environmental and social impacts with the application of IFC’s Performance Standards and PROPARCO’s standards.
This information is given at the time of signature, without prejudice to any developments in the operation/project
07/31/2017
Date of signature of the project
Sectors
Multi-country Global
Location
Financing tool
17 500 000
Euros
Amount of funding
USD 20m Equity investment
ABRAAJ GLOBAL CREDIT FUND
Head office country
PZZ1338
CES
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on the same region
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on the same topic
Multi-sectorsRenewable energies and energy efficiencyHSBC Real Economy Green Investment Opportunity
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on the same financial tool
