Chairman of ACA speaks at the 2014 Chartered Institute of Bankers of Nigeria (CIBN) investiture

October 20, 2014 – Chairman of ACA, Mr. Dick Kramer, gave the keynote address at the 2014 Chartered Institute of Bankers of Nigeria (CIBN) investiture, which held in Lagos. He spoke on the theme ‘Making Nigeria a major Destination for Foreign Direct Investment.’

According to Dick Kramer, privatizing downstream petroleum, unlocking natural gas potential, agribusiness and other business potential is the pathway to attracting Foreign Direct Investment (FDI) into the country.

Please click here for the full story.

ACA features in the September issue of Private Equity International (PEI)

September 2014 – CEO of ACA, Mr. Okey Enelamah, discussed Nigeria’s growth potential in a keynote interview with Private Equity International.

Please click here to view the full interview on pages 13 & 14.

Protea Hotel Select Ikeja opens its doors

August 2, 2014 – Capital Alliance Property Investment Company (CAPIC) an ACA-managed fund, has announced the opening of Protea Hotel Select Ikeja. Protea Hotel Select Ikeja is the result of a partnership deal made between CAPIC and the Skye Shelter Fund, a real estate investment fund, to increase the availability of quality, affordable business accommodation in the country. The hotel also feeds into CAPIC’s wider strategy, which will see the additional launch of Protea Hotel Selects in Owerri and Takoradi, Ghana in 2015, to take advantage of the growing trend in real estate development across the West African region.

Protea Hotel Select Ikeja is strategically located in an under-served part of the Ikeja Central Business District in Alausa, which has no other branded hotel within a three mile radius. It is also conveniently located across the road from the Ikeja City Mall and the Lagos State Government’s Secretariat. Additionally, it is about 5 minutes away from the Oba Akran Industrial Area and 15 minutes away from the Murtala Muhammed International Airport.

With 117 fully equipped rooms, this international business hotel will cater to corporate travelers by providing a variety of room types with en-suite bathrooms, mini-bar fridges, satellite TV, high speed internet and tea/coffee making facilities. Its restaurant serves buffet breakfast, lunch and buffet dinner, with a strong focus on Continental and Nigeria Cuisine. Other hotel facilities include a 24-hour bar, a 50-delegate meeting room, ample parking, free Wi-Fi access and shuttle service. The hotel will be managed by Protea Hotel, the largest hotel operator in Africa and a member of the Marriott Group.

Commenting on the opening, Mr. Obi Nwogugu, the CAPIC Fund Manager stated: “We are excited to add Protea Hotel Select Ikeja to our chain of hotels; it complements our objective to develop hospitality infrastructure in under-served markets across Nigeria and West Africa and we are confident that it will meet the global standard of service and comfort demanded by our business travelers.” Speaking on the hotel management team, Mr. Patrick Ilodianya, the Managing Director of Skye Shelter Fund stated: “The partnership with Protea Hotel provides best practices in comfort, health and safety in our hotel and reinforces our commitment to consistently deliver international standards at the right price.”

ACA is currently investing out of its first real estate fund (CAPIC I), a $165 million private equity fund.

ACA exits First Hydrocarbon Nigeria Company limited (FHN)

July 5, 2013 – Capital Alliance Private Equity III (“CAPE III”), an ACA-managed fund, has realized its equity investment in First Hydrocarbon Nigeria Company Limited (FHN), an indigenous exploration & production company in Nigeria.

FHN was established by UK-listed Afren Plc in direct response to the Nigerian government’s policy to increase indigenous participation in the Nigerian upstream oil and gas sector.  In 2010, ACA invested in FHN to support its acquisition of a 45% interest in the OML 26 portfolio of assets from Total, Shell and Agip, as well as to assist in the initial phase of the further development process for the asset. Due to the attractiveness of the OML 26 portfolio of assets, FHN benefited from a significant and diverse investment base and accrued value that enabled CAPE III to successfully exit. ACA’s investment in FHN underscores the advantage of the fund’s strategy to back local champions emerging in the Nigerian Oil & Gas space.

Speaking on ACA’s role during the investment phase, Femi Bajomo, Managing Director of FHN said, “During the course of our partnership, ACA worked with us to execute our strategy and grow the company. The firm has been a valuable partner in delivering FHN’s vision to increase indigenous ownership in the upstream sector of the Nigerian economy. With our increasingly strong positioning, we look forward to what the future holds and thank ACA for their role in our success.”

Cyril Odu, Partner of African Capital Alliance added: “We are delighted to have partnered with FHN and to have played a role in helping the company grow during the tenure of our investment. We have been particularly impressed with the quality and strength of the management team who have a great track record. We are also encouraged by the company’s growth prospects in the Nigerian oil & gas industry, which continues to offer significant opportunities to indigenous players.”

ACA is currently investing out of its third fund (CAPE III), a $400 million private equity fund.

Cape III invests $75m in Union Bank of Nigeria PLC

September 2012 – African Capital Alliance (ACA) led a consortium of international investors (Union Global Partners) to recapitalize Union Bank of Nigeria Plc (UBN). The Consortium invested $500 million for a controlling stake in the bank. ACA invested $75 million as part of the Consortium.Union Bank, the former Barclays Bank in Nigeria, has operated for nearly a century. The bank represents one of the most attractive industry opportunities given its significant brand equity, robust client base and extensive retail infrastructure (about 400 branches). UBN offers the investor group a real opportunity for significant value-addition to a previously undermanaged asset. In addition to its commercial banking activities, UBN also owns subsidiaries that are active in real estate, insurance and asset management, and a fully licensed bank subsidiary in London.

Paul Kokoricha, head of ACA Private Equity fund, said that “the UBN deal is a landmark opportunity to return what was the leading commercial bank in Nigeria back to its rightful place by partnering a value-adding core investor group with solid management team”. The existing shareholders of Union Bank are enthusiastic that the attraction of a core investor and the recapitalization of the bank will transform UBN into a strong and transparent financial institution. According to the Executive Director, Corporate, International and Investment Banking and Treasury, Mr. Philip Ikeazor, “Shareholders unanimously voted in favour of all the options and plans of the recapitalization process, as recommended by the Board of Directors”.The consortium comprises African Capital Alliance, African Development Corporation, Corsair Capital, FMO, the Chandler Corporation, and Standard Chartered Private Equity. These partners bring complementing expertise and the experience required to restore UBN’s market offering and competitiveness. The investor group’s mission is to transform Union Bank into a leading bank in Nigeria which builds long-term sustainable value for all stakeholders. It plans to achieve this through investing in systems, processes and infrastructure to deliver customer-centric products and services. African Capital Alliance (ACA) is a leading independent investment firm focusing on Nigeria and the broader West African region. Formed in 1997, ACA has, to date, obtained aggregate capital commitments of over $750m across several funds raised from its offices in Lagos. ACA has a proven track record of successfully exiting investments and delivering strong returns to investors. ACA is currently investing out of its third fund (CAPE III), a $400 million private equity fund.