South Africa: Sanari Capital fund reaches $65m second close
South African private equity firm Sanari Capital has successfully raised R1.25 billion (c. $65 million) for its growth fund.
This marks the second closing for the Sanari 3S Growth Fund as the firm edges closer to its goal of reaching a final close equivalent of up to $100 million.
New investors in this closing include South Africa’s Public Investment Corporation (PIC), the largest asset manager on the African continent, and Alexforbes Investments.
Sanari Capital’s chief executive officer, Samantha Pokroy commented: ”We are delighted to have raised capital from such highly regarded financial institutions, both of which share our commitment to achieving a balance between financial and socio-economic benefits. This funding will play a pivotal role in addressing structural economic imbalances, promoting transformation, fostering economic growth, creating jobs, and delivering both environmental and financial returns.”
The addition of the PIC and Alexforbes complements Sanari Capital’s existing investor base, which includes the 27four Black Business Growth Fund, Telkom Retirement Fund and the Motor Industry Retirement Funds through the RisCura Manager Development Programme, and National Fund for Municipal Workers (NFMW).
Moushmi Patel, executive director at Sanari, said: ”This fund equips us with the financial capacity to invest in larger businesses than was previously possible, allowing us to extend the reach of our work with founder-run, owner-managed, and family-owned businesses across the mid-market. Additionally, we can back our investee companies for longer through their expansion and scaling. For example, we expect to continue backing our investment in Edulife Group, an affordable quality independent schools group in South Africa, where we have already grown the learner base from 1,000 to 3,000 students and a pipeline to double the business in the near term.”
* Subscribe to Africa Private Equity News’ monthly Dealmaker’s Log for a database of the reported investment deals, exits and fundraising closes. Click here for more information.