The Common Market for Eastern and Southern Africa (COMESA) on 13th February 2012 signed contracts appointing a team of Advisors who will assist COMESA raise the one billion United States dollars required equity capital to fund the COMESA Infrastructure Fund.
The regional organization plans to raise a minimum of US$1 billion committed equity capital contributions, to be completed with a proportionate subordinate debt offer depending on off-take for the equity offer. The Fund is based in Mauritius.
The appointed Advisors are PricewaterhouseCoopers (PWC) as Lead Advisors, SNR Denton UK as Legal Advisors and Deloitte as Reporting Accountants.
The signing ceremony took place at COMESA Secretariat with COMESA Secretary General Mr Sindiso Ngwenya signing on behalf of COMESA while PWC was represented by Mr Vishal Agarwal Head of Infrastructure Finance for Sub-Saharan Africa, Mr Jeremy Cape came from SNR Denton were he is a Partner and Mr Ticha Pfupajena from Corporate Finance represented Deloitte.
The COMESA Infrastructure Fund is a COMESA initiative which has been established to address the pressing infrastructure challenges facing the region. COMESA recognizes that, without meaningful infrastructure development, the region cannot grow and achieve one of its key developmental goals, that of eradicating extreme poverty.
The purpose of the COMESA Infrastructure Fund is to raise capital for investment in trade-related infrastructure projects in the region. The funds raised will be a mix of public and private investor's funds. The main objective of the Fund will be to achieve a portfolio of viable and sustainable infrastructure assets which will yield satisfactory returns to investors and deliver acceptable services to the COMESA region and its people.
The Fund will also aim to enhance cooperation amongst member States in order to improve the efficiency and competitiveness of their markets, by upgrading/increasing the supply of domestic and regional infrastructure services through diversification of production and distribution capacity, with a view to promoting economic growth, wealth creation and poverty reduction.
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