The Apax Foundation, a nonprofit arm of Apax Partners, has acquired a 20% stake in Finance in Motion GmbH, advisor to the world’s largest microfinance investment fund.
The Apax Foundation, the charity of global private equity firm Apax Partners, and Finance in Motion GmbH, Frankfurt/Main, Germany, today announced that they have signed an agreement whereby the Apax Foundation purchases a 20 per cent stake in the share capital of Finance in Motion. The investment takes place through a capital increase in Finance in Motion.
The relationship will allow Finance in Motion to draw on Apax Partner’s global network and market presence, base of investors and private equity know-how to develop new commercially viable products and services in development finance, particularly in the area of equity investments.
Finance in Motion is an asset management firm exclusively focused on development finance. It offers specialized investment advisory services in the management of investment vehicles that have a positive social impact in developing countries and emerging economies and generate a financial return for investors. The company focuses on micro, small and medium enterprise financing, housing financing, as well as on financing of energy efficiency measures and renewable energy projects. Advising investment funds with a total committed capital of over EUR 800 million, it is one of the world’s leading asset managers in the field of development finance.
“The Apax Foundation’s charitable donations are focused on social enterprise projects around the world. We wanted to bolster our support for this area by investing up to 20 per cent of the Foundation’s assets in social investments as opposed to straight commercial investments. Our investment in Finance in Motion is the first such and we are delighted to be investing in a way that will generate a positive social impact as well as a financial return”, said Michael Phillips, Managing Partner of Apax Partners and Trustee of the Apax Foundation.
“We are delighted with the addition of the Apax Foundation as an investor in our company. With this step, Finance in Motion has acquired a very valuable partner who shares our commitment to social values. We look forward to our fruitful cooperation to enhance our range of services and products, helping the investment vehicles we advise to achieve an even greater development impact in combination with sound financial performance”, explains Florian Meister, Managing Director at Finance in Motion.
Strengthening of the supervisory board
Through this investment, the supervisory board of Finance in Motion will be strengthened with the appointment of Michael Phillips as the representative of the Apax Foundation. In addition to Michael Phillips, the board includes Chairman Dr. Klaus Maurer, Development Finance Expert, Deputy Chairman Dr. Wolfgang Leoni, Managing Director at Sal. Oppenheim Jr. & Cie. Verwaltungs AG, and Dr. Christian Cornett, Lawyer and Partner in the corporate department at the law firm SJ Berwin LLP.
The company is majority-owned by management and staff. Sylvia Wisniwski, Elvira Lefting and Florian Meister form the executive management of the company. The company has over 55 employees. In addition to its main office in Frankfurt/Main, the company has seven offices in Southeast Europe. Besides the Apax Foundation, the company is also backed by the private bank Sal. Oppenheim as co-founder and shareholder.
Fund Advisor of the EFSE
Finance in Motion is the sole fund advisor for the world’s largest microfinance investment fund European Fund for Southeast Europe (EFSE). The company is also the advisor of the Green for Growth Fund, Southeast Europe (GGF) which promotes energy efficiency and renewable energy projects in Southeast Europe including Turkey.