AgDevCo gets $90 mn top-up to back African agri businesses

 AgDevCo gets $90 mn top-up to back African agri businesses

AgDevCo, a specialist investor in early-stage African agribusinesses structured as a permanent capital vehicle, has topped up its corpus with $90 million of new funding from three investors.

CDC Group Plc, the UK’s development finance institution that is being renamed as British International Investment, committed $50 million in equity capital. Norway’s Norfund put in $20 million as equity while US International Development Finance Corp pitched in with $20 million as senior debt.

This is in addition to the announcement of supplementary funding of up to $5.4 million from CDC, Norfund and the UK’s Foreign, Commonwealth and Development Office for AgDevCo’s integrated technical assistance facility.

AgDevCo is owned by a not-for-profit company limited by guarantee. Its investments typically range between $2 million and $10 million. It invests across the agricultural value chain, from inputs to logistics, and in all sub-Saharan African countries except those with upper middle-income status.

AgDevCo works in a variety of sectors and crops, including high-value export crops like avocados and macadamias; nutritious food industries for domestic markets and affordable meat protein like poultry and fisheries. Its portfolio companies are involved throughout the food sector from primary production, through processing to retail.

Since starting in 2010, AgDevCo has invested in 80 agribusiness across sub-Saharan Africa. Its current portfolio comprises over 40 companies (including a number of small, legacy investments) with a total value of around $150 million. These companies are spread across nine countries—Ghana, Cote D’Ivoire, Kenya, Tanzania, Uganda, Rwanda, Zambia, Malawi and Mozambique.

Vivek Sinha

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