SPEF II aims to support small-to-mid-sized businesses in the financial services and ICT sectors, focusing on financial and digital inclusion, job creation, and diversity across South Africa and the broader Southern African region.

The fund will also extend its investments into the food security sector, addressing critical economic and social needs.

In addition to BII’s contribution, Summit Africa is working to raise between ZAR400 million ($21.7 million) and ZAR500 million ($27.2 million) from other institutional investors, both local and international, before deploying capital.

The fund has set a target size of ZAR2.5 billion ($136 million).

Highlighting the significance of this investment, BII CEO Leslie Maasdorp stated:

“Partnering with impact-driven fund managers like Summit Africa is crucial for delivering development outcomes at scale. Given the success of Summit’s first fund, we are pleased to support its second private equity initiative to drive SME growth in key sectors that enhance livelihoods in South Africa and the region.”

Nthabiseng Thema, investment lead and partner at Summit Africa, expressed appreciation for BII’s backing, emphasizing the fund’s commitment to environmental, social, and governance (ESG) principles and its hands-on approach in working with portfolio companies.

She also noted that the investment aligns with South Africa’s Presidential Investment Drive, which seeks to mobilize R2 trillion in investments over the next five years.

The launch of SPEF II marks another step in strengthening private equity investment in Southern Africa, with a clear focus on economic transformation and sustainable impact.