The Abraaj Group said Monday that it has invested in African Industrial Services Group. No financial terms were disclosed. Based in Cote d’Ivoire, AIS is provider of engineering solutions.
Abidjan, Cote d’Ivoire, 7 October 2013: The Abraaj Group (‘Abraaj’), a leading investor operating in growth markets, today announced an investment through one of its Funds in African Industrial Services Group (‘AIS’).
AIS is an engineering services and component manufacturing and distribution company that provides end-to-end solutions for all engineering requirements, from the initial stages of identification of market requirements and conceptualization of component designs, to the manufacture and installation of tested products.
Headquartered in Cote d’Ivoire, AIS was founded in 2001 by mechanical engineer Alain Mominé. The company has an established presence and operations across eight countries in West Africa including Benin, Togo, Guinea, Senegal, Burkina Faso and recently launched branches in Liberia and Sierra Leone. It has partnered with some of the largest parts and component manufacturers in the world, and counts amongst its clients top West African players in the agro-business, railway, oil and gas, mining, brewery, textile and telecommunications industries.
Abraaj’s investment will allow AIS to expand its service offering to both existing and new customers, as well as upgrade its inventory management system across its West African footprint. The company will focus on developing four core areas of its business: product range extension, geographical expansion, the consolidation of new markets, and in-house production capacity increase.
Commenting on the transaction, Kodjo Aziagbe, Managing Director at The Abraaj Group, said: “We are very optimistic about our first investment in Cote d’Ivoire. We believe the industrial services sector is, in particular, witnessing rising domestic and regional demand for more affordable, locally produced components, and therefore exhibits solid potential to drive long-term growth through product innovation, improved penetration and channel expansion.”
“In addition to being linked to some of West Africa’s fastest-growing sectors, such as agro-processing, infrastructure, mining and telecoms, AIS’s unique sales model, impressive portfolio and strong regional presence demonstrate an ability to scale the business further into multiple West African markets,” Aziagbe added.
Jacob Kholi, Partner at The Abraaj Group, said: “We feel this is the perfect time for our inaugural deal in Cote d’Ivoire. The country is on the onset of a post-war renaissance and requires the support of new investors to assist in the reconstruction of a healthy and sustainable economic environment.”
Alain Mominé, Chief Executive Officer of African Industrial Services Group, said: “The timing of the investment of The Abraaj Group neatly complements our planned growth strategy; we look forward to having Abraaj join our board and working closely together to position AIS as the leading, value-added, full-service engineering solutions firm in West Africa. We recognize Abraaj’s experience in developing regional businesses and welcome their support and added expertise as we increase our production capacity and expand our footprint both within Cote d’Ivoire and across the region.”