The London-headquartered PE firm is looking to raise an aggregate amount of USD 1.25 Bn by September. It will then allot the funds to medium to large companies and take stakes ranging from minority to controlling stakes.
Reports indicate that the firm which has invested in Nigeria, South Africa, and Kenya will inject between USD 30 Mn and USD 200 Mn per transaction.
“The proposed project is for an equity investment of USD 50 Mn, not to exceed 20 percent of total committed capital. The target size of the fund is USD 1.25 Bn in commitments,” International Finance Corporation (IFC ) said in its investment disclosures.
Additionally, Helios will benefit from IFC’s knowledge, portfolio and networks in Africa
IFC has been consistent with its support to Helios. The institutional investor did participate in the private equity firm’s previous capital calls.
“IFC’s continued commitment to the fund manager in Helios IV through USD 50 Mn of patient capital will assist the large-cap growth fund in achieving its first close by September 2019 and ultimately its target size of USD 1.25 Bn,” IFC said.
The institutional investor further stated that the project is expected to increase competition in Africa’s private equity market by exemplifying the achievability of investments “in a region suffering from a lack of investor confidence.”
The new capital, which is Helios fourth fund, could see Helios expand its investments in Kenya where its portfolio companies include Africa Oil, Acorn Group and Telkom Kenya.
One of Helios most remunerative investments was its purchase of a 24.9 percent stake in Equity Group for USD 109 Mn in 2007, a position it exited in 2015 with a profit of more than USD 395 Mn inclusive of dividends.
The PE has invested USD 3.6 Bn in African businesses over the past 13 years.
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