The EBRD commits $80 million to North Africa Fund III, managed by RMBV, to support mid-cap companies in Egypt, Morocco, and Tunisia. NAF III aims to invest up to $300 million, focusing on healthcare, education, financial services, and consumer staples, while promoting inclusivity through a gender action plan.
The European Bank for Reconstruction and Development (EBRD) has announced a cornerstone commitment of up to $80 million to North Africa Fund III (NAF III), which is managed by RMBV. This fund aims to support mid-cap enterprises in Egypt, Morocco, and Tunisia by facilitating equity and equity-related investments that seek to maximize long-term capital gains. Following its first closing, NAF III is projected to invest as much as $300 million in businesses within these North African countries, empowering them to achieve their operational potential and generate financial returns.
RMBV’s investment strategy will focus on four primary sectors—healthcare, education, financial services, and consumer staples. The fund will target companies that align with strong consumer dynamics in North Africa. In addition to the financial backing, RMBV will be provided with a technical cooperation package to assist in the development and execution of a gender action plan, fostering inclusivity in their investment approach.
Anne Fossemalle, EBRD Director for Private Equity Funds, underscored the organization’s commitment to the region by articulating that, “We are proud to continue to support the RMBV team in raising its first fund as an independent player in the North African private equity market… The Bank reaffirms its dedication… to sustaining private equity as a funding source in the North African economies.”
Ahmed Badreldin, Managing Partner of RMBV expressed his gratitude for the EBRD’s support, highlighting the shared objective to stimulate sustainable economic growth in the region: “This partnership reflects our shared vision of fostering sustainable economic growth across the region by empowering mid-cap companies to achieve their full potential.”
RMBV aims to identify companies with growth potential, resilience against economic uncertainties, and capable management, ensuring that their investments contribute not only to superior financial returns but also to the enhanced economy of North Africa.
The EBRD’s involvement in North African markets dates back to its commitment to fostering private sector development and sustainable economic growth. The establishment of North Africa Fund III (NAF III) as the first independent fund managed by RMBV signifies a critical step in financing mid-cap companies, which are essential for job creation and economic resilience in the region. The focus on pivotal sectors such as healthcare, education, and financial services is aligned with the evolving consumer dynamics, aiming to stimulate operational growth and attract further investments.
In conclusion, the EBRD’s commitment of $80 million to NAF III represents a significant effort to empower mid-cap companies in North Africa, thereby promoting sustainable economic growth. The provision of technical assistance and the emphasis on inclusivity through a gender action plan are vital components of this initiative. As RMBV targets critical sectors, the collaborative effort with EBRD is expected to generate substantial financial returns while fostering robust business practices in the region.
Original Source: www.ebrd.com
