Private equity firm LeapFrog Investments has managed to raise $700 million (KSh70.7 billion) for investing in high impact projects such as healthcare and financial services. The fund is focused on African and Asian economies. Leapfrog aimed to raise $600 million from the fund drive but exceeded its target by $100 million.
Kenya’s pharmaceutical chain Goodlife is one of the beneficiaries of the fund. Other companies LeapFrog Investments has invested in are; WorldRemit, the money transfer services provider and India’s SME focused financial institution, NeoGrowth.
Leapfrog will put in equity investments of between $25 million (KSh2.5 billion) and $30 million (KSh3 billion) in emerging economies such as Kenya, Ghana, Nigeria, South Africa, India, Indonesia, and Sri Lanka.
The fund’s founder and CEO Andrew Kuper said, “It is time for a better kind of capitalism. LeapFrog was founded on a philosophy of profit with purpose. That has proved a winning strategy, driving strong growth and returns while changing tens of millions of lives.”
In the first quarter of 2019, East African economies benefited from Private Equity investments worth $110.9 million (KSh11.2 billion) as per a report by I&M Burbidge Capital. Sixty per cent of the funds went into the Financial services sector with notable investments like the KSh1.2 billion capital injection into Sidian Bank by Danish firm Investment Fund for Developing Countries (IFU).
