BluePeak - Afrikan Heroes

BluePeak’s ESG-linked Investment in Prime Logistics Boosts Regional Connectivity

November 27, 2023

BluePeak Private Capital, an alternative asset management firm supporting the growth of scalable businesses in Africa has announced its first ESG-linked investment, a USD 20 million hybrid loan to a leading integrated East & Central African logistics group, Prime Logistics (Prime). The investment will contribute to the sustainable expansion of Prime’s operations in Africa, increasing access to high-quality logistics services while lowering associated emissions and boosting regional connectivity.

Prime combines best-in-class logistics services that include freight, customs clearance, warehousing, inland terminals, overland transport, and supply chain management. By offering the full spectrum of logistics services, Prime can offer an integrated solution to customers ensuring cargo is moved efficiently from source to its ultimate destination.

Prime’s ambitious growth plans seek to strengthen its position as a market leader, serving blue chip customers operating in the growth markets of East & Central Africa and the Middle East. The company operates from its hubs in Dar es Salaam, Mombasa, Kampala, Goma and Dubai bringing regional economic partners closer, while the investment helps the company continue to connect countries including Democratic Republic of Congo, Kenya, Rwanda, Tanzania, Uganda, Malawi, Burundi, and Zambia.

As part of the company’s climate action plan, Prime will strengthen its robust ESG framework and build on innovations that focus on reducing the company’s carbon footprint and efficiency. BluePeak will ensure the investment aligns with the Fund’s sustainability strategy focused on resilience, climate change, and inclusivity. Enhancing equality in a strategic sector, BluePeak’s investment also reinforces gender diversity and will drive the implementation of initiatives to increase female participation in this historically male-dominated sector to break barriers and deliver economic opportunities to women.

BluePeak’s US$ 20 million investment promotes the UN’s Sustainable Development Goal 5 on Gender Equality, Goal 8 on Decent Work and Economic Growth, and Goal 13 on Climate Action.

Commenting on the investment, Rami Matar, Senior Partner at BluePeak said, “Our diversification into logistics is testament to the flexibility and ambition of an investment approach prioritizing sustainable growth of resilient businesses. Partnering with Prime will build on the company’s existing ESG track record, advance the logistics sector, and accelerate the journey to a more sustainable future.”

According to Asif Abdulla, Executive Chairman at Prime LogisticsNigerian Fintech FrontEdge Raises $10 Million to Enhance Cross-Border Trade Financing, “The investment from BluePeak comes at a crucial time as increasing trade flows between East & Central Africa, the Middle East and the rest of the world supports demand for reliable logistics services. The structure of the funding aligns with our commitment to advance economic growth while unlocking sustainable development.”

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

BluePeak Private Capital Announces Final Closing of $156 Million Flagship Fund

October 24, 2023

Walid Cherif, BluePeak Co-Founder and Managing Partner

BluePeak Private Capital (BluePeak) – an alternative asset manager firm supporting the growth of scalable businesses in Africa through privately negotiated and structured debt like instruments– has reached final closing at USD 156 million for its inaugural private capital fund, BluePeak Private Capital Fund SCSp (the Fund). The closing signifies the emergence of private debt as an attractive asset class, offering superior risk adjusted and a compelling alternative for African SMEs.

As a gateway to investing in homegrown businesses poised for sustainable growth at scale, the Fund attracted investors and development finance institutions (DFIs) mandated to maximize social impact and generate attractive returns.

Despite the persistent challenges in attracting capital to emerging markets, BluePeak has secured backing from the African Development Bank (AfDB), British International Investment (BII) – the UK’s development finance institution, the European Investment Bank (EIB), the US Development Finance Corporation (DFC), FMO – the Dutch entrepreneurial investment bank, SwedFund – Sweden’s development finance institution, and the “Caisse des Dépôts et Consignations” CDC Tunisia.

The African Development Bank and South Africa-based private investor Sango Capital are the most recent investors to back the Fund, marking their first ever commitments to a private debt fund, and a vote of confidence in BluePeak’s strategy.

Less than three years from initial closing, the Fund successfully built a diversified portfolio of 6 pioneering businesses operating in more than 30 countries across Africa, employing over 7,500 people and impacting the lives of millions of Africans. The rapid deployment of conscious capital in several industries demonstrates the range of growth opportunities available in the region.

With an estimated funding gap of USD 421 billion for African SMEs, BluePeak is primarily seeking to bridge the financing shortfall that growing companies face, while enhancing operational longevity. BluePeak works closely with its partners to encourage growth, employment, and opportunities to balance gender equality, consolidating the Fund’s commitment to the 2X Challenge initiative.

At the heart of BluePeak’s mission lies sustainability. Substantial strides were made in implementing best-in-class ESG & Impact frameworks aligned with the highest industry standards and ingrained across the investment process, maximising positive and long-lasting impact.

Commenting on the closing of the Fund, Walid Cherif, BluePeak Co-Founder and Managing Partner said, “When we established BluePeak in 2019, it was to form part of a solution to fill Africa’s funding gap. Difficulty obtaining capital for ambitious businesses has long held back their financial development and positive economic and social impacts. We are honoured to have secured the backing of such a prestigious group of investors and meet the unique and evolving needs of businesses. We are excited about the next phase, partnering with ambitious entrepreneurs to boost operational excellence, drive growth, strengthen ESG practices and unlock positive impact across Africa.”