XSML Capital backs Zambian hotel
XSML Capital has provided senior secured debt to Latitude 15°, a boutique hotel in Lusaka, Zambia.
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XSML Capital has provided senior secured debt to Latitude 15°, a boutique hotel in Lusaka, Zambia, to support the addition of new rooms, enhanced conference facilities, and the installation of a solar energy system.
Located in Lusaka’s upscale Kabulonga neighbourhood, Latitude 15° is a three-star boutique hotel that caters to a growing and diverse clientele, including international and local businesses, NGOs, and travelers. The hotel currently has 35 rooms, which will be expanded to 47 as part of the investment.
Latitude 15° is part of the broader Latitude Hotels group, which operates business hotels in Malawi (Latitude 13°), Uganda (Latitude 0°) and Zambia, targeting a niche segment of business and leisure travelers in fast-growing African cities.
This transaction marks XSML Capital’s growing presence in Zambia.
“This investment enables Latitude 15° to scale operations and cut energy costs sustainably – a win for both business and the environment. This deal reflects our commitment to backing businesses that combine profitability with sustainable impact,” said Eka Bali, XSML Capital’s country manager in Zambia.
In Q1 2025, XSML Capital committed $24 million across seven investments under the African Rivers Fund IV – two in Angola, four in the Democratic Republic of the Congo, and one in Zambia. This represents 20% of the fund’s total capital.
“With seven transactions closed in the first quarter of this year alone, African Rivers Fund IV is maintaining strong investment momentum. Our growing presence in Zambia reflects both the quality of the local entrepreneurs and the country’s potential for SME-led growth,” said Jarl Heijstee, managing partner of XSML Capital.
* Read How we made it in Africa’s interview with XSML managing partner Barthout van Slingelandt: Investment adventures in Africa's frontier markets
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