Business
AfDB: US$11m Equity Investment Empowers BluePeak Private Capital Fund
The African Development Bank has taken a significant step towards fostering economic growth in Africa by committing an equity investment of US$11 million to BluePeak Private Capital Fund.
This partnership aims to support an indigenous fund manager who possesses extensive knowledge of African markets and is dedicated to investing in underserved small and mid-size companies across the continent.
African Development Bank Invests In BluePeak Private Capital Fund
The African Development Bank Group’s Board of Directors has given its seal of approval for an equity investment of US$11 million in BluePeak Private Capital Fund. This investment contributes to BluePeak’s final close target of $155 million. By facilitating the growth of mid-size firms in sectors such as pharmaceuticals, agribusiness, manufacturing, and logistics, the African Development Bank actively promotes its goal of supporting economic development in Africa.
BluePeak Private Capital Fund: Empowering Potential Market Leaders
As a premier private capital fund based in Luxembourg, BluePeak plays a pivotal role in providing growth capital to middle-sized companies with the potential to become market leaders across Africa. By focusing on expansion, recapitalization, and deleveraging, BluePeak adds value to its portfolio companies. The fund plans to make a minimum of eight investments ranging from $8 million to $25 million in well-established companies that generate steady cash flows.
Diverse Investment Opportunities: BluePeak’s Thriving Portfolio
BluePeak’s current investment pipeline encompasses a diverse range of sectors. The fund allocates 22% to agribusiness, 22% to manufacturing and packaging, 12% to pharmaceuticals, 12% to fintech and financial services, and 11% each to information technology and telecommunication, logistics, and commercial real estate. With such a broad spectrum of investments, BluePeak is poised to attract interest from other development finance institutions.
African Development Bank’s Commitment On Businesses
Walid Cherif, co-founder of BluePeak Private Capital, expressed his appreciation for the African Development Bank’s commitment, stating that it signifies confidence in their strategy of supporting impactful businesses in Africa. The financing challenges faced by SMEs in Africa due to macroeconomic setbacks necessitate filling the financing gap, a role BluePeak is determined to play.
Unveiling The Benefits: African Development Bank’s Equity Investment
The equity investment from the African Development Bank promises multiple benefits, including ensuring that the fund adheres to the highest standards. By investing in BluePeak, the bank supports an indigenous fund manager with an in-depth understanding of African markets, enabling them to invest in underserved small and mid-size companies. The fund managers have already identified investment opportunities across 15 African countries.
Driving Job Creation And Infrastructure Development
The equity investment by the African Development Bank is projected to create 1,142 full-time jobs while simultaneously supporting the construction of 6,400 telecommunication towers. Moreover, it aims to significantly increase the production of malaria drugs from 33 million units in 2022 to 75 million units in 2027. As a substantial portion of the portfolio firms operate in rural areas, this investment will also benefit women and other vulnerable members of communities, particularly in the agribusiness sector.
BluePeak Fund And The African Development Bank
The investment strategy of BluePeak Fund aligns seamlessly with the African Development Bank’s High 5 priorities. This includes industrializing Africa, improving the quality of life for its people, and working towards achieving food security across the continent.
African Development Bank’s Vision
Through the equity investment, the African Development Bank aims to contribute to Africa’s integration at both the continental and regional levels. This strategic move promotes private sector promotion and is in line with the African Development Bank’s priorities for the development of the private sector, particularly in supporting small and medium-sized enterprises. Furthermore, this investment plays a crucial role in advancing the bank’s strategy to enhance Africa’s pharmaceutical manufacturing capabilities on a continent-wide scale.
The African Development Bank’s equity investment in BluePeak Private Capital Fund represents a significant milestone in driving economic growth and empowering African businesses. By supporting an indigenous fund manager with a deep understanding of African markets, the bank ensures that underserved small and mid-size companies receive the necessary investments to thrive. The diverse investment opportunities offered by BluePeak contribute to job creation, infrastructure development, and the overall improvement of livelihoods across the continent.
Through strategic investments in sectors such as pharmaceuticals, agribusiness, manufacturing, and logistics, the African Development Bank actively promotes its High 5 priorities, industrializing Africa, improving quality of life, and feeding the continent. This equity investment not only strengthens the private sector but also facilitates Africa’s integration at the regional and continental levels.
As the African Development Bank continues to champion economic development and sustainable growth in Africa, partnerships like the one with BluePeak Private Capital Fund pave the way for a brighter future. By maximising investments and leveraging the potential of African businesses, the bank plays a vital role in transforming the continent’s economic landscape.
Sterling Bank has announced the removal of transfer fees on all local online transactions.
The move was confirmed by the bank on Tuesday in a press release.
The development makes it the first major Nigerian bank to eliminate the contentious charges for digital banking.
The statement noted that the bank reaffirmed its commitment to customer-centric banking, declaring that the zero-transfer-fee policy is real and effective immediately.
The initiative is expected to bring significant relief to individuals and small business owners who conduct frequent transactions.
The bank’s Growth Executive in charge of Consumer and Business Banking, Obinna Ukachukwu, described the decision as a values-driven approach aimed at ensuring fair and inclusive banking.
“We believe access to your own money shouldn’t come with a penalty.
“This is more than a financial decision—it’s about redefining banking to put customers first,” he stated.
Under the new policy, Sterling customers will not be charged for local transfers conducted via the bank’s mobile app.
Ukachukwu emphasised that the bank’s decision is about more than just competitive strategy.
He said, “We’re not yet the biggest bank in Nigeria, but we’ve been the boldest.
Sterling fearlessly believes in the future of Nigeria, and this is us backing Nigerians with more than words.
The Central Bank of Nigeria dismissed a report claiming it had introduced N5,000 and N10,000 banknotes to facilitate cash transactions as false.
In a statement posted on its official X handle on Wednesday, the apex bank described the report as fake and urged Nigerians to disregard it.
“The content is not from the Central Bank of Nigeria. Kindly note that the official website of the CBN is cbn.gov.ng,” the statement read.
A statement from the CBN’s communications department further clarified, “The only official sources for releasing statements to the media are our website or statements from our department. There is also no Deputy Governor by such name. We are investigating the source of this fake content.”
The report quoted one Deputy CBN Governor, Ibrahim Tahir Jr., the move is aimed at reducing cash-handling costs and providing Nigerians with more efficient means of conducting large transactions.
“The introduction of these new high-value denominations aligns with global best practices and will enhance economic activities while reducing the stress associated with carrying large amounts of cash,” the Governor stated. The CBN said there is no such name in its leadership.
“The new N5,000 note will feature the portrait of Chief Obafemi Awolowo, while the N10,000 note will showcase Dr. Nnamdi Azikiwe, both in recognition of their contributions to Nigeria’s development.
“Additionally, the new notes will incorporate enhanced security features, including color-changing ink, holograms, and anti-counterfeiting technology, making them impossible to replicate,” the fake report stated.
The fake report also said the nationwide rollout would begin on May 1, 2025, with commercial banks instructed to start issuing the new notes via ATMs and over-the-counter transactions.
Mixed reactions have trailed changes in the management of the Nigerian National Petroleum Company Limited (NNPC Ltd.) and its board by President Bola Tinubu.
The President had on Wednesday reconstituted the board of the NNPC Ltd., removing the Chairman, Chief Pius Akinyelure and the Group Chief Executive Officer (GCEO), Malam Mele Kyari.
Tinubu removed all the board members appointed with Akinyelure and Kyari in November 2023.
The new 11-man board has Mr Bayo Ojulari as thevGroup Chief Executive Officer (GCEO) and Ahmadu Kida as Non-Executive Chairman.
Some experts have reacted to the development in an interview with the News Agency of Nigeria (NAN)non Wednesday in Abuja.
Mr Olabode Sowunmi, an Oil and Gas Expert described the development as a calculated effort to put some life and energy into the oil and gas industry.
Sowunmi, CEO, Cabtree, described it as a welcome development.
He said that the NNPC Ltd. was a limited liability company with the
Federal Government as its major shareholder.
“It is a calculated effort to put some life and energy into the industry.
“It is expected that this will mean new thinking, new focus and more results,” he said.
According to Sowunmi, even the proposed Initial Public Offer (IPO) which is targeted at listing NNPC in the stock market, will not have prevented Kyari’s removal, as he is a government appointee.
“The government can remove any government appointee at anytime,” he said.
Yushau Aliyu, an economic expert said the changes were timely, especially when the IPO was underway.
“However, the IPO must be professionally determined by relating to the development in the oil market as well as the willingness of the general public.
“Investment potential with the economic growth targets of Nigeria 2030 should also be considered,” he said.
He said that the President was empowered by the Petroleum Industry Act (PIA 2021) to dissolve both the NNPC Ltd. board and the CEO.
Another expert, Dr Sand Mba-Kalu, said that Nigeria’s oil and gas sector needed stability and predictability, along with strict adherence to legal standards, to attract sustainable investment and encourage transformation.
According to him, the move represents a bold initiative within the larger framework of aiming to meet our national production and refining targets in the energy sector by 2027 and 2030.
Mr Lawrence Nze, an Economist said that most of the policies introduced under Kyari never solved the challenges in the oil sector.
Nze said that the Naira for crude policy appeared not to be working since it had not resulted to any serious reduction in price.
According to him, Dangote Refinery was gradually achieving that with its slight reduction in ex-depot price which usually affects pump price, but suddenly, authorities in the oil sector cancelled it.
“To me, it looks like a sabotage against the people. Why can we not stop importation? It means that there is a deal that someone or group of people are benefiting from.
“It is not rocket science to get the energy sector working. Nigerians want cheaper petroleum products, is that too much to ask for?
“Only President Tinubu knows why he sacked Kyari, and whatever be the reason, Nigerians should have access to cheaper petroleum products, especially fuel.
“I will advise the president to ensure that the Naira for crude policy works in the country to enable local refineries operate on a cheaper scale,” he said.