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The African Development Bank (AfDB) has approved a $15 million equity investment in the RMBV North Africa Fund III, a vehicle targeting mid-market growth companies across North Africa.
RMBV North Africa Fund III (NAF III) is a private equity buyout fund managed by RMBV, which is based in Cairo. The fund aims to raise around $400 million. It focuses on growing mid-market companies in Egypt, Morocco, Tunisia, and Algeria.
Italy’s development finance institution Cassa Depositi e Prestiti (CDP) has separately approved a $20 million equity investment in the same fund, bringing the combined commitment to $35 million.
The Cassa depositi e prestiti Group is Italy’s main financial institution, established in 1850 to support the economy. It helps fund public investments, promotes international cooperation, and plays a key role in infrastructure development.
The organisation assists Italian businesses in innovating, growing, and expanding their exports. It is also the leading investor in social and affordable housing, contributing to the growth of the real estate sector in Italy.
RMBV North Africa Fund III will invest in mid-market growth companies across sectors including consumer goods and services, healthcare, education, and financial services.
Beyond capital, the fund will provide managerial expertise to portfolio companies across these sectors, with a focus on expanding access to jobs and quality goods and services in the region.
CDP’s investment comes through the Growth and Resilience Platform for Africa (GRAf), a co-investment partnership between Italy and the African Development Bank anchored in Italy’s Mattei Plan for Africa.
The Mattei Plan for Africa is a $6.27 billion initiative started by Italian Prime Minister Giorgia Meloni in January 2024.
It focuses on creating equal investment-driven partnerships instead of relying on traditional aid, concentrating on energy, water, agriculture, infrastructure, education, and health in various African countries.
“The investment underscores the Bank Group’s commitment to strengthening private sector participation, supporting the growth of scalable business, and stimulating job creation, while advancing the delivery of essential services across the North Africa region,” says AfDB.
The announcement comes a few weeks after approving a $113.7 million loan to Gotion Power Morocco to finance the development of an integrated lithium iron phosphate battery gigafactory in the Rabat-Salé-Kénitra Free Trade Zone.
