Private equity deals in East Africa more than doubled in 2015

Feb 01, 2016

These deals were mainly concentrated in the financial sector.

The value of private equity deals in East Africa more than doubled in 2015, according to a new report from Burbidge Capital.

More than 40 private equity deals were recorded in the region last year, with a total value of $1.44 billion (€1.32 billion), up from 35 a year earlier ($678 million).

These deals were mainly concentrated in the financial sector, unlike in the previous year where transactions ran across sectors such as agribusiness and mining.

"The average PE deal size was $46.5 million up from $34.4 million in 2014, representing a 35.3 per cent rise," said Burbidge Capital chief executive Edward Burbidge, quoted by Business Daily.


The report forecasts that investors' appetite for Kenya, Uganda, Tanzania and Rwanda should remain strong in 2016, since they are expected to register stronger growth than other states in west and southern Africa.

"We expect the region to continue to be extremely attractive for investments — likely considerably more attractive than the resources dependent regions of the continent," Mr Burbidge concluded.ADNFCR-2976-ID-801811479-ADNFCR