Angola Capital Partners (ACP) is a joint venture between Banco Angolano de Investimentos (BAI) and Norfund, with the mission to create a private equity market in Angola and become the leading independent manager and the preferred source of financing for mid-sized corporates in Angola. BAI is the largest privately-owned bank in Angola with more than 20 years of experience financing the private sector in Angola and Norfund is the Norwegian state-owned development finance institution providing capital to private sector companies in developing countries.
The FIPA I Fund was launched in 2009 and the FIPA II Fund in 2016, however, the journey began in early 2008 when ACP and its sponsors met with representatives of various development finance institutions, including the European Investment Bank (EIB), the Danish Investment Fund for Developing Countries (IFU) and the Spanish Development Agency (FONPRODE), to seek participation of additional investors for a private equity fund being launched with a focus on attracting foreign investment into Angola and stimulating the overall investment climate, creating a local private equity market and making the case for Angola as an international investment destination.
Since then, a total of USD 87 million was raised for longterm financing to Angolan companies. FIPA I raised USD 39 million of committed capital, now fully deployed, whilst FIPA II closed in 2017 and has USD 47.5 million of committed capital with the same 10-year maturity period.
The funds’ activities have resulted in several positive outcomes that contributed to some of the SDGs (Sustainable Development Goals, United Nations) and Angola’s 2013-2017 national priorities,including the following:
- Ensuring unity and national cohesion;
- Promoting human development and wellbeing;
- Promoting sustainable competitive and equitable development;
- Supporting the development of entrepreneurship and the private sector;
- Harmoniously developing the national territory;
- Promoting the competitive integration of the Angolan economy in the world and regional context.
Proven Track Record Financing Long-Term
Growth of Mid-Sized Angolan Companies
Establishment of ACP and start of fundraising activities
Establishment and FIPA 1st close USD 28M capital
Final close of FIPA reaching USD 39M
Investments in printing services and media group
Investments in fishing group
Investments in waste management services operator
Investment in agribusiness company and in building materials manufacturing company
FIPA II raised with USD 45M capital
FIPA II 2nd close with USD 48M capital; Investment of FIPA II in a fishing group
ACP impact report since inception
Banco Angolano de Investimentos (BAI) was founded in 1996 as the first private bank in Angola. Among the largest Angolan banks, BAI offers a complete portfólio of products and services to individual and corporate customers, including a range of innovative financing solutions to SMEs by a team of dedicated and expert professionals. BAI is present nationwide through a vast network of branches with a local presence across all Angolan regions, as well as internationally through BAI Europa (Portugal), BAI Cape Verde, and through local partnerships in São Tomé and Príncipe, South Africa and Brazil.
Norfund, the Norwegian Investment Fund for Developing Countries, was created in 1997 and is owned by the Ministry of Foreign Affairs of Norway. Norfund serves as an instrument in Norwegian development assistance policy. The Fund contributes to poverty reduction and economic development through investments in profitable businesses and the transfer of knowledge and technology. Its activities are conducted in accordance with the fundamental principles for Norwegian development co-operation.
The European Investment Bank (EIB) is the long-term lending institution of the European Union, whose shareholders are the 28 European Union (EU) member states and has been active across Africa for over 40 years. EIB activities follow policies and objectives set down by the EU member states and whose Finance Ministers are the EIB’s Governors. EIB loans in Africa concentrate on fostering private sector-led initiatives, including SME and microfinance investments that promote sustainable economic growth and help to reduce poverty. The EIB also supports public sector projects that are critical for private sector development and the creation of a competitive business environment.
The Spanish Cooperation Agency for International Development through the Office of the Secretary of State for International Co-operation and for Ibero-America of the Spanish Ministry of Foreign Affairs and Cooperation (MAEC) is responsible for the drafting, management, implementation, monitoring and evaluation of foreign policy for Ibero-America, international development co-operation and the coordination of cultural activities abroad including in Africa.
The Danish Investment Fund for Developing Countries (IFU) was founded by law in 1967. The objective of IFU is to promote economic activity in developing countries in collaboration with Danish trade and industry. IFU works to achieve its objectives by investing in companies in developing countries in collaboration with Danish strategic partners.
Banco Millennium Atlantico (ATLANTICO) is a banking institution established in 2016 through the first major merger in the Angolan financial system between Banco Privado Atlantico and Banco Millennium Angola, both created in 2006. With more than 10 years of financial expertise, ATLANTICO is one of the largest banks operating in Angola and a benchmark for its financial strength and banking services to individual customers and corporate clients. ATLANTICO is present in all 18 Angolan provinces with more than 130 branches, and has successfully launched the first digital branch in Angola.
Norsad Finance Limited is an impact investor established to contribute to the private sector development of Southern African economies, by providing funding to enterprises that are financially, socially and environmentally sustainable. Norsad prioritizes investment in businesses that create sustainable employment, diversify local economies and are keen to adopt or maintain decent working conditions and good governance practices. Though Norsad was incorporated in Botswana in November 2011, the Company has a history spanning over 25 years. It first started operating in 1990 as a multilateral agency based in Lusaka. The establishment of Norsad Agency followed an agreement between four Nordic countries (Denmark, Finland, Norway and Sweden) and 11 Southern African countries (Angola, Botswana, Lesotho, Malawi, Mauritius, Mozambique, Namibia, Swaziland, Tanzania, Zambia and Zimbabwe) to establish an organization that can contribute to the economic development and self-reliance of the participating SADC countries by extending foreign currency facilities for the operations of private sector enterprises in the region. The institution had evolved into a limited liability company by 2012.