FEDA invests $85m into Arise IIP to support growth strategy
By Motolani Oseni
The Fund for Export Development in Africa (FEDA) has announced a total sum of $85 million investment into ARISE Integrated Industrial Platforms (ARISE IIP), the pan-African infrastructure developer and operator, which would further boost its growth strategy
FEDA is the development impact investment platform of the African Export-Import Bank (AFREXIMBANK), a long-standing partner of Arise IIP. With this investment, FEDA joins AFC, ARISE IIP’s controlling shareholder, to support the company’s development strategy.
However, this deal demonstrates the confidence of FEDA in ARISE IIP’s development strategy.
The investment agreement was concluded on 16 November 2022 in London, between Marlène Ngoyi, CEO of FEDA, and Gagan Gupta, Founder and CEO of ARISE IIP.
With this investment, FEDA confirms its commitment to supporting Africa’s industrialization and economic development, while ensuring environmental sustainability.
The Fund for Export Development in Africa (FEDA) is a $670 million fund (First Close) with the ambition to raise a total of $1.3 billion over the coming months.
Commenting on this development, CEO of FEDA, Marlène Ngoyi said: “Our investment in ARISE IIP demonstrates FEDA’s ability to invest in opportunities that will drive the structural transformation of trade on the continent. ARISE IIP is a key player that supports Africa’s local manufacturing and trade with the rest of the world. It echoes the FEDA’s DNA to provide equity capital with a focus on delivering development impact in diverse sectors in Africa which are critical to driving intra-African trade and value-added export development.”
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Also, the President and Chairman of Afreximbank, Prof. Benedict Oramah said: “We are very pleased with this fundraising, which marks a critical step to support ARISE IIP’s rapid growth in Africa, and more broadly, to advance Africa’s industrialisation.”
The Chairman of ARISE IIP board, Samaila Zubairu, who also welcomed the announcement stated: “We are thrilled with this key fundraising for ARISE IIP. Our trusted partner has a proven track record of delivering large-scale projects across Africa and we are confident in their ability to generate added value for African countries’ economies.”
