Proparco, a subsidiary of the French Development Agency (AFD) focused on the private sector in emerging markets, has made a substantial investment of €20 million ($21.67 million) in Amethis Fund III.
This investment, completed on August 1, 2024, marks the fourth contribution by an international financial institution since the fund’s first closing in July 2023.
Previous Investments in Amethis Fund III
Amethis Fund III, which had an initial closing amount of €140 million a year ago, has seen investments from several key financial institutions.
These include the International Finance Corporation (IFC) and the Swedish Development Finance Institution (Swedfund) in July 2023, followed by the European Investment Bank (EIB) in May 2024.
The fund is currently working towards raising approximately €450 million for its final closing, scheduled for the end of the second quarter of 2024.
Investment Focus and Strategy
Based in Luxembourg, Amethis Fund III aims to invest between €25 million and €40 million in medium-sized African companies.
These investments will target both minority and majority positions in around ten enterprises. The fund’s focus is on high-growth sectors, including healthcare, manufacturing, business services, financial services, and energy and infrastructure-related services.
Amethis Fund II: A Successful Predecessor
The predecessor to this fund, Amethis Fund II, successfully attracted more than 70 investors from Africa and Europe by its final closing in June 2019.
This reflects the strong investor confidence and interest in Amethis’ investment strategy and track record.
Proparco’s significant investment in Amethis Fund III underscores the ongoing commitment of international financial institutions to support economic growth and development in Africa. By focusing on key growth sectors, Amethis Fund III aims to foster sustainable development and create significant value in the African market.