Monday, January 17, 2022

Afinitas ventures into Ethiopia

After listing on the Botswana Stock Exchange (BSE) to raise capital that would finance its forays into Africa, Afinitas has expressed confidence in its Africa’s growth. The pan African investment company said the future looks bright as it has maintained focus on Africa where it will substantially develop its investments during the calendar year 2016. 

The company recently said that investors are likely to see a rapid development during the year. Furthermore, significant progress has been made towards establishing two new companies in the year 2016. The company announced that it has developed a strong network across Africa, with key investors and dealmakers that will allow additional new business opportunities to be progressed, developed and potentially launched during 2016.

Led by Managing Director Leutlwetse Tumelo, Afinitas last year successfully listed on the Venture Capital Board of the Botswana Stock Exchange (BSE), raising a total of P94 million. Across Africa, the company views Ethiopia as a unique investment opportunity where the continent’s second most populous country (100m citizens) has experienced strong and broad based growth over the past decade, averaging 10.8 percent per year in 2004 – 2014 compared to the regional average of 4.8 percent (World Bank). However, Ethiopia is a relatively unknown investment destination among African investors due to its lack of a stock exchange and historically unattractive investment regulations. 

“Afinitas management has made several visits to Ethiopia during 2015 to investigate the viability of developing a broad based investment company there. A high quality investment team has been identified on the ground to grow the new company,” said the company in a statement.

The company further revealed that it will organise an investor trip to Ethiopia in February 2016 along with other major African investors with a view to formalising an investment vehicle to develop growth opportunities in Ethiopia. Tumelo further said Afinitas has one of the most extensive networks globally of African investors, dealmakers and executive contacts across all 54 countries in Africa. 

“This network provides multiple investment opportunities for Afinitas Limited. Several other new investment opportunities are being progressed,” Tumelo stated.

Meanwhile, Afinitas has been actively promoting AFSIC 2016, which will be held on 4thÔÇô6th May 2016 in London, UK. Tumelo said preparations for the conference are well on track and AFSIC looks set to show continued growth in 2016. As disclosed in the prospectus, Africa Events Limited, which owns 100 percent of AFSIC, is expected to declare a dividend to Afinitas Limited during the 2016 financial year.


Read this week's paper