Sarona Asset Management has secured $150 million in the final close of its second private equity fund of funds, Sarona Frontier Markets Fund II. The fund received commitments from a wide number of institutional investors, family offices and high net-worth individuals. Fund II, which is also supported by U.S. and Canadian government agencies, will target returns-generating investments in local private equity funds that back companies in frontier and emerging markets. The fund currently has investments in countries in Africa, Asia and Latin America. Sarona has its headquarters in Kitchener, Ontario, and in Amsterdam, the Netherlands.
Sarona closes second private equity fund of funds with $150mm
Kitchener, Canada & Amsterdam, the Netherlands – 12 December 2014
Sarona Asset Management held its final close for the Sarona Frontier Markets Fund 2 on 12 December 2014. The company raised a total of $150mm from a mixture of leading institutional investors, family offices and high-net-worth individuals.
The Sarona Frontier Markets Fund 2 targets superior risk-adjusted returns by investing – through locally-based private equity funds – in profitable, growth-stage companies across Africa, Asia and Latin America with a strong focus on environmental, social and governance improvements. More than half of the capital has already been committed. With 7 primary fund investments and 2 fund investments purchased on the secondary market, the Sarona fund is currently invested in 28 small to mid-cap companies in Colombia, Ecuador, Peru, Mexico, Indonesia, Malaysia, India, Turkey, Morocco, Tunisia and Algeria.
“Investing in this strategy enables us to further diversify our portfolio by gaining a broad exposure to SMEs in frontier and emerging markets set to benefit from the rapidly growing middle class consumption,” says Nick Greenwood, Pension Fund Manager at the Royal County of Berkshire Pension Fund.
Both US and Canadian government agencies are supporting the fund with a combination of equity capital, first loss guarantee and cost-effective leverage. Their support is aimed at improving the risk-return profile for other investors so as to encourage the flow of capital to responsible businesses within developing economies. Sarona’s experience of investing in sustainable businesses with progressive management is expected to deliver high risk-adjusted returns to its investors.
For more information, please don’t hesitate to contact:
Gerhard Pries Managing Partner and CEO Sarona Asset Management firstname.lastname@example.org +1 519 883 7557
Vivina Berla Senior Partner and MD Europe Sarona Asset Management email@example.com +31 20 798 1311
About: Sarona Asset Management
Sarona is a private equity firm, investing growth capital in companies and private equity funds in frontier and emerging markets. Through its strategy of partnering with local private equity firms, Sarona is able to help build companies that deliver excellent risk-adjusted returns while creating a positive social and environmental impact.
Sarona and its predecessors have developed a wealth of experience and knowledge through 60 years of private investments in frontier and emerging markets. The company is based in Kitchener, Canada, and Amsterdam, the Netherlands.
For more information, please visit www.saronafund.com.
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