TLG Capital has made an investment in EmVest, a diversified agricultural fund focused on sub-Saharan Africa.
The fund has deployed over USD40m, employs approximately 1,500 people and manages over 10,000 hectares of land across South Africa, Mozambique, Swaziland and Zambia.
EmVest operates 10 projects across the agricultural chain, growing, processing and distributing food.
The collaboration sees EmVest join TLG’s Africa-focused asset manager platform, which provides institutional investors with the ability to invest in specific sectors and/or geographies. Together, TLG and EmVest have deployed capital of approximately USD65m across sub-Saharan Africa. Emvest intends to transition shortly into a corporate structure similar to TLG Capital’s transformation in early 2012, allowing for greater operational flexibility.
Zain Latif, founder and principal of TLG, says: “Our goal is to consolidate key sector specific and regional funds under a single centralised platform for the benefit of investors and fund managers alike. The platform offers a more stable framework from which to invest across the region. This innovative model is particularly suited for funds operating in the growth capital space, and our investment represents a significant step to aggregate private equity funds with less than USD100m in assets under management. We continue to look at exciting funds with sector or regional focus to add to the platform. ”
Susan Payne, chief executive of EmVest, adds: “EmVest is committed to supporting the growth of sub-Saharan Africa through responsible capital investment in a transparent and ethical manner. When properly executed, large-scale farming has a place as one of the many ways to promote sustainable agriculture and act as a catalyst for rural development. We see a generational opportunity in Africa now, particularly in the food business, with Africa starting to feed itself – as well as potentially many other parts of the world – and we are looking to deliver this opportunity in the easiest and most appealing structure for investors.”
TLG has also announced that to support its asset management platform, Exotix, a frontier market investment banking firm, will be retained in an advisory and capital raising capacity.
