Convergence Partners, the investment management firm established in 2006 by businessman Andile Ngcaba, has announced the successful final close of its Convergence Partners Communications Infrastructure Fund.
The fund has secured investment capital of more than US$200m (R2,5bn). Convergence Partners said this makes it the largest fund dedicated solely to information and communications technology infrastructure in Africa.
“The fund reached its final close with capital commitments from the Public Investment Corp, acting on behalf of the Government Employees Pension Fund, and an Africa-focused fund of funds,” the company said.
Additional investors in the fund include Convergence Partners (as sponsors), the International Finance Corp (IFC), the European Investment Bank, the Dutch Development Bank, the Development Bank of Southern Africa and the CDC Group.
The fund has already invested in a number of businesses, including Comsol, FibreCo and Synergy Communications.
“It is anticipated that the fund will deploy capital to portfolio investments across the African ICT infrastructure spectrum, improving access to technology as well as communication and broadband services,” Convergence Partners said. The company has opened an office in West Africa, where it intends making a number of investments.
“We believe the current fund size is well suited to the scale of infrastructure investment opportunities we are seeing across the continent, including fibre, data centres, wireless/spectrum, fintech and ICT platforms that enable e-learning and broadcast and media,” said Ngcaba, who chairs the Convergence Partners board. — © 2015 NewsCentral Media