• In order to assist medium-sized and women-led businesses in Africa, the International Finance Corporation plans to make an equity investment of 25 million euros.

World Bank Group financing arm, International Finance Corporation (IFC) made an announcement on Wednesday, during its Vice President Sergio Pimenta’s two-day visit to Cairo that it plans to make an equity investment of about 25 million euros in Mediterrania Capital Partners’ Mediterrania MC IV fund, as it also looking to invest another 20 million euros subsequently. The two-day visit concluded on Tuesday.

The investment is to support the development of medium-sized companies in Africa, most especially firms being run or led by women. According to IFC, at least 25% of the money in the Mediterrania MC IV fund will go into companies or business run or owned by women. Only 6% of all private equity capital is distributed to women-led businesses in both the Middle East and Africa.

Private equity company Mediterrania Capital Partners is based in Malta and was established in 2013. It concentrated on growth investments in African mid-cap and small- and medium-sized businesses (SMEs). The company makes investments in consolidated and expanding businesses with annual turnover ranging from $20 million to $300 million with market expansion plans in North and Sub-Saharan Africa.

Mediterrania IV will provide medium-sized businesses in the manufacturing, healthcare, fast-moving consumer goods, and financial services industries crucial growth capital, as these industries are all crucial to the expansion of African economies. Albert Alsina, the founder, and CEO of Mediterrania IV said they are providing assistance to thousands of people in Africa to have a better life thanks to the IFC’s trust in their investments.

Egypt’s Minister of International Cooperation, Rania Al-Mashat said that “the agreement supports IFC efforts with Mediterrania to boost development in manufacturing, finance, and healthcare, not only in Egypt but also in North and Sub-Saharan Africa”.

He continued by saying “Through this partnership, there is more potential to share knowledge and success stories in the continent to accelerate economic growth and poverty reduction as we work to create an enabling business environment in collaboration with the private sector”.

With a local presence in Morocco, Egypt, and Côte d’Ivoire, Mediterrania adopts a hands-on investment approach and offers its portfolio firms financial, strategic, and operational support to assist them in becoming regional or national leaders. More than 20,000 people are employed by the portfolio companies of Mediterrania Capital.To support Mediterrania in increasing the gender diversity of its investment team and portfolio companies, the IFC will offer training and advisory services. IFC’s third commitment to funds administered by Mediterrania Capital is the new investment. In 2013 and 2017, IFC made prior investments in Mediterrania II and Mediterrania III.