LONDON (Indonsia Today) – The Overseas Private Investment Corporation (OPIC) has approved $360m in financing for three investment funds in Africa, Russia and Indonesia.
The funds have a combined target capitalisation of $1.2bn and focus on growing consumer populations in these markets, altassets.net reported on Monday (Sept 17).
Up to $150m was approved for African Development Partners II, managed by Development Partners International. The pan-Africa-focused fund will invest in companies that serve Africa???s emerging middle class, such as financial institutions, pharmaceuticals and hospitals, telecommunications, food service and agribusinesses, consumer goods, education, engineering and construction. The fund has a target capitalisation of $500m.
Indonesian fund manager Falcon House also will receive up to $60m for its $225m-targeted Falcon House Partners Indonesia Fund I, which targets Indonesia???s middle and lower mid-market segments, with a focus on consumer-driven industries, including retail, food products, personal care products and health care.
Russia???s Elbrus Capital will also receive up to $150m for its second fund, which is targeting $500m. This fund will invest in the consolidation of middle-market companies in rapidly-growing industries in Russia, reacting to changing consumer patterns, the need for consumer and business infrastructure, the efficient use of natural resources, and the increasing need for healthcare and education.
The growth of the middle class in each of these markets is ongoing but often ignored by investors, said OPIC president and CEO Elizabeth Littlefield. ???Emerging middle classes in markets such as Africa, Indonesia and Russia are a vital foundation of long-term economic growth,??