Pearl Capital Partners

Focusing on East Africa's agriculture sector

Overview

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Nairobi, Kenya
Burundi, Comoros, Djibouti, Egypt, Eritrea, Ethiopia, Kenya, Madagascar, Malawi, Mauritius, Mozambique, Réunion, Rwanda, Seychelles, Somalia, South Sudan, Sudan, Tanzania, United Republic of, Uganda, Zambia, Zimbabwe
Agribusiness

We are an independent agriculture investment management firm with offices in Kampala and Nairobi. We administer portfolio management on behalf of African Agricultural Capital Fund (AACF), a US$25 million agricultural fund that was launched in September 2011, the African Seed Investment Fund (ASIF), a US$12 million seed fund formed in August 2010 and our original investment company, African Agricultural Capital Ltd (AAC), formed in 2005 with US$ 9 million in equity subscriptions. 

PCP’s original investment company African Agricultural Capital Ltd (AAC) was established in 2005 by Gatsby, Rockefeller and Volksvermogen of Belgium to address the “funding gap”: a lack of small business finance holding back a large number of high-potential enterprises in Africa. The social impact and potential returns from addressing this funding gap is most pronounced in agriculture. 
The investors capitalised AAC to channel finance to agricultural enterprises, whose growth could catalyse the development of the value chains they operate in, delivering high social impact and strong financial returns, and encouraging future sector specific investments, by demonstrating to the private sector that such investments can be profitable.
We invest between US$250,000 and US$2.5 million in growing agricultural small and medium-sized businesses in East Africa, typically using a combination of equity, quasi-equity, equity-related and debt investments, delivering relative to our sector, top quartile financial returns to our investors, while creating significant positive social impact on smallholder farmers.
Initially and in accordance with direction from our investors, our investments focused mainly on supporting businesses with significant social impact rather than creating market-leading financial returns. In recent years and in light of positive financial returns from earlier investments, our focus shifted towards considering potential investments equally along social and financial lines.
Our latest fund AACF has been invested in 8 new agricultural businesses and has target return expectations of around 15% annual compounded return, while continuing to meet our demanding measurable social impact criteria. With exits continuing to be realized from our initial two funds AAC and ASIF, Pearl continues to grow and remain a proud pioneering regional agri-focused fund management firm that will soon be looking to fully exit its initial fund AAC.

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