France’s development finance institution has placed a significant bet on the next generation of established, profitable African businesses, committing $17.25 million to a growth equity fund at its final close.
Proparco has committed $17.25 million to the Alterra Africa Accelerator Fund LP, a pan-African growth equity fund managed by Alterra Capital Partners. The AAA Fund invests in profitable, growth-stage, market-leading businesses across Africa, with a focus on East and Southern Africa. Alterra targets domestic-facing companies that serve basic consumer and vital business needs, working closely with management teams to help them scale.
The fund’s current portfolio includes Java House, a coffee chain operating across East Africa; Chill Beverages, a South Africa-based beverage company; ARP Africa Travel Group, an East Africa-focused travel operator; and Cobra Group. According to Proparco, these companies collectively support more than 4,000 direct jobs, with women accounting for 48 per cent of the workforce and people under 35 representing 60 per cent.
The investment marks the final close of the Alterra Africa Accelerator Fund, which was launched in 2020 following the spin-off of The Carlyle Group’s Africa team. The fund had targeted between $300 million and $400 million in capital. Alongside Proparco, institutional investors including the African Development Bank and the International Finance Corporation have also backed the vehicle.
Tibor Asboth, Head of Private Equity for Africa and the Mediterranean at Proparco, said the institution was attracted by the quality of the team, the clarity of the strategy, and Alterra’s strong on-the-ground understanding of African markets — describing it as a platform built to back ambitious businesses that are creating jobs and expanding access to essential goods and services. Genevieve Sangudi, Partner at Alterra Capital Partners, welcomed Proparco’s participation as a strong endorsement of the firm’s approach — describing Alterra as an Africa-rooted firm with a high-quality portfolio and a disciplined investment strategy