Download Afghanistan`s only private equity fund launched InFrontier

Afghanistan’s only private equity fund launched
InFrontier Afghanistan Fund raises US$22m at first close with investors including CDC Group and
the Dutch Good Growth Fund (DGGF)
London, Kabul, 12 December 2016 –. The InFrontier Afghanistan Fund, the only private equity fund
focused on Afghanistan was launched this week and has reached a first close of US$22m with
investors that include CDC, the UK’s development finance institution and the Dutch Good Growth
Fund, an initiative of the Dutch Ministry of Foreign Affairs.
The fund, which is managed by London and Kabul-based, InFrontier, will invest in established
businesses that have the potential to become market leaders in the country, focusing across multiple
sectors and making long term investments.
InFrontier sees the potential to generate commercial returns to investors whilst supporting
socioeconomic development in one of the world’s most challenging markets. The team behind the
fund have already made a number of investments, including in the country’s first and largest
pharmacy chain.
“Private sector investment is the most effective and sustainable form of development in a post-conflict
economy such as Afghanistan,” asserts Felix von Schubert, Director at InFrontier Ltd. “This is a
landmark Fund that will enable InFrontier to build on three years of investment track record in
Afghanistan,” commented Benj Conway, Director at InFrontier Ltd.
“CDC is a pioneering investor with a mandate to invest into some of the world’s hardest places. That’s
why we’re backing InFrontier, the team behind Afghanistan’s first private equity fund. This is a tough
environment in which to operate but we have been impressed by their commitment, their
understanding of the market and their strong local relationships. CDC’s US$15m investment will
support the Afghan economy by increasing access to finance, boosting job creation and potentially
attracting new private sector investors.” says Diana Noble, CEO of CDC Group.
After over 10 years of international focus and a period of substantial economic growth as a result of
unprecedented economic aid, Afghanistan has entered a new phase, focusing on domestic capacity,
modernisation of urban infrastructure, regional trading relationships and the strength of a young,
internet-enabled population, half of which is under 15 years of age.
“The Dutch Good Growth Fund (DGGF) aims to boost access to finance for Small and Medium sized
enterprises in underserved markets, particularly in fragile states. We believe that InFrontier can set an
example, also for private investors, by demonstrating that market based investments in one of the
world's most challenging countries are possible, thereby contributing to financial ecosystem
development and job creation." says Steven Evers, Managing Director of Triple Jump, Investment
Manager of the DGGF
InFrontier will hold additional closings for the Fund with a final closing scheduled for the end of 2017.
About InFrontier Ltd
InFrontier is a specialist frontier-market investor authorised and regulated by the Financial Conduct
Authority (FRN 605294). It is the first international private equity firm with a dedicated team and
active investments in Afghanistan.
About CDC Group
CDC Group plc is the UK's development finance institution. Wholly owned by the U K Government, it
invests in sub-Saharan Africa and South Asia with the aim of supporting economic development in
order to create jobs.
CDC provides capital in all its forms, including equity, debt, mezzanine and guarantees. It has net
assets of £3.9bn CDC has invested in Africa and Asia since its establishment in 1948. Find out more at
www.cdcgroup.com
About Triple Jump
Triple Jump is an independent responsible asset manager focussed on impact investments in
emerging markets. With a main focus on providing solutions for small businesses through financial
sector development, Triple Jump has over a decade of experience in combining social and financial
returns for its investors. Triple Jump is headquartered in Amsterdam, has regional offices in Kenya,
Peru, Mexico, Thailand and Georgia and its investment portfolio investment portfolio spans more
than 60 countries.