Actis, the pan-emerging markets investor, has established Credit Services Holdings (CSH), a buy-and-build credit services business.
CSH’s first investment will be acquiring 100 per cent of Compuscan, the largest independent credit bureau in Africa.
Actis will be investing in CSH alongside the Compuscan management team, who will continue to manage the Compuscan business. Actis plans to invest USD100m into the platform.
To assist in the build-out of the platform, Michael Jordaan, formerly CEO of South Africa’s First National Bank and a leading figure in the African financial services industry, has been appointed as chairman of CSH.
Founded by CEO Remo Lenisa, Compuscan is the fastest growing bureau in South Africa and one of the largest on the continent. Headquartered in Stellenbosch, with offices in Johannesburg and Kampala, it provides multiple credit data, decision analytics services and training, to over 3,500 clients including banks, telcos, retailers, microcredit institutions and insurers, across several countries including South Africa, Namibia, Botswana, Uganda and Ethiopia.
Jonathan Matthews, director in Actis’s Johannesburg office, says: “Actis is backing an excellent and entrepreneurial management team led by CEO Remo Lenisa and we are delighted to attract Michael Jordaan to help build the brand and take it to the next stage of growth. Only five per cent of adults in Africa are covered by credit bureaus compared with 64 per cent in OECD countries, and many countries are still without the necessary bureau infrastructure. We are excited to be investing in Compuscan and making the first steps towards bridging that gap.”
Lenisa says: “Actis’s experience combined with its global footprint and sector specialisation, means that it is uniquely positioned to support us and to grow CSH both organically and through acquisitions.”
The transaction is subject to regulatory approvals.
