The fund aims to support mid-market businesses across Africa, focusing on those driven by technology, innovation, and sectoral growth trends.

Samantha Pokroy, Sanari Capital’s CEO, expressed enthusiasm about the milestone, highlighting the confidence it reflects in the firm’s investment strategy. 

“With four investments already made and a strong pipeline of opportunities aligned with our themes, this capital allows us to execute at pace. We are optimistic about the positive impact on both the ground and the fund’s returns,” she said.

The fund has attracted a mix of institutional investors, including the Public Investment Corporation (PIC), Alexforbes Investments, the 27four Black Business Growth Fund, the Telkom Retirement Fund, the Motor Industry Retirement Funds, RisCura, and the National Fund for Municipal Workers.

Sanari Capital’s investment model targets businesses with the potential to scale, offering investments of up to R250 million ($14 million).

Its current portfolio includes companies with around 60% of revenues in hard currency, a reflection of their export-oriented and geographically diverse operations.

Moushmi Patel, Sanari’s executive director, noted the increasing global demand for innovative South African businesses, adding, “We are continuously inspired by the compelling technology and innovation that thrive in our market.”

The fund’s existing portfolio includes notable investments:

• Edulife Group: A provider of affordable schooling solutions.
• LightWare LiDAR: The developer of the world’s smallest and lightest LiDAR sensors.
• iiDENTIFii: Africa’s leading enterprise identity verification company.
• Energenic Holdings: A pan-African energy solutions provider.

Sanari also emphasizes diversity, transformation, and economic impact. “Private equity has a pivotal role in transforming our economy,” said Sihle Gumede 

The investment is aimed at supporting climate-focused infrastructure projects in Africa, marking a significant step towards sustainable development in the region.

GEIF, a collaborative fund managed by Schroders Capital and BlueOrchard, specializes in channeling capital to private equity funds with a strong emphasis on climate impact.

AIIF4, managed by African Infrastructure Investment Managers (AIIM), is a well-established fund in the region, leveraging extensive local partnerships to implement sustainable infrastructure initiatives.

The $5 million investment is directed at AIIF4 Climate Investment LP, a sub-fund of AIIF4 specifically focused on climate-related infrastructure projects.

Priority areas include South Africa, Morocco, and the broader sub-Saharan Africa region.

AIIM has already undertaken significant projects in renewable energy, cold chain logistics, and green data centres, showcasing its commitment to fostering a sustainable infrastructure ecosystem across the continent.

Daniel Freedman, Senior Portfolio Manager at Schroder Investment Management, praised AIIM’s expertise and its focus on climate solutions.

He highlighted the alignment between GEIF’s objectives and AIIM’s proven track record, expressing optimism about the partnership’s potential to drive clean energy, carbon reduction, and sustainable logistics in Africa.

Paul Frankish, Head of Strategic Initiatives at AIIM, welcomed GEIF as an investor and emphasized their shared commitment to addressing Africa’s infrastructure and climate challenges.

He highlighted AIIM’s investments in renewable energy, green data centres, and temperature-controlled logistics, emphasizing their impact on food security and sustainable economic development.