TLG Capital and UGFS NA to manage Tunisian fund
TLG Capital and United Gulf Financial Services North Africa (UGFS NA) announced today that they have been appointed as the joint fund manager for the Empower Fund, an initiative launched by Caisse des Dépôts et Consignations (CDC Tunisia).
Several countries around the world have plans and initiatives to catalyse their economies with capital injections into private sector companies, which constitute the fabric of the local economy. It is within this framework that CDC Tunisia has committed to mobilise 700 million Tunisian dinars (about $250 million) across five funds. CDC Tunisia is the anchor investor in these, committing 40% of the capital across each fund. The remaining 60% would be raised from international and developmental financial institutions. The Empower Fund is the largest of the five funds initiated by CDC Tunisia, deploying about 300 million Tunisian dinars or about $100 million, into the economy. The Empower Fund will be split into two categories, A and B.
The Empower Fund will invest in resilient Tunisian companies with validated economic models which operate in strategic sectors with high growth potential. The Empower Fund B expects to make investments starting from $1.5 million to $5 million each, throughout its fund life.
Mohamed Salah Frad, general manager at UGFS NA said, “This new project is in line with our strong partnership with the Tunisian government via the CDC. This affirms also our role and know-how in supporting and accompanying Tunisian SMEs as well as our vision to be among the active players in the ecosystem to support and boost the national economy alongside our partner TLG Capital.”
Ahmed Dhouib, principal at UGFS NA commented, “We are proud to be part of this initiative that confirms our unique position as a leading private equity fund manager in Tunisia known to be a hands-on investor supporting successful companies with promising growth prospects. We aim through our partnership with CDC Tunisia and TLG Capital to help mid-sized Tunisian companies to achieve operational excellence, compete internationally and provide superior returns for our investors.”
Zain Latif, principal at TLG Capital said, “We are delighted to have been selected alongside UGFS NA as co-managers of the Empower Fund by CDC Tunisia. Investing alongside best in class local asset managers like UGFS NA allows TLG to leverage our region wide deal experience into more tailored solutions for Tunisian companies. We are looking forward to developing our partnership with UGFS NA as we seek to invest across growth companies in the Tunisian market.”
Saad Sheikh, principal at TLG Capital said, “This landmark initiative and commitment from CDC Tunisia demonstrates its resolve to bolster its economy and build back better and stronger after Covid-19. We, at TLG, believe in double bottom line: sustainable investing through robust commercial returns while creating impact. We expect the critical financial and technical support offered to Tunisian SMEs, through the Empower Fund, to facilitate job growth, stimulate productivity, and enhance economic activity in Tunisia, and beyond.”
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