South African VC firm Futuregrowth has revealed that it intends to establish its Futuregrowth High Growth Development Equity Fund, which would place its primary emphasis on providing financial support to businesses that have a significant and favourable influence on development.
Futuregrowth is the 8th largest asset management and leading developmental investor firm in South Africa. The company has over one hundred employees, fifty different fund products, and over twenty-five years of industry experience.
It’s private equity and VC head Amrish Narrandes said, “We’ve been a financial backing to early-stage equity deals for over nine years.
The purpose of the newly launched Futuregrowth HGDEF is to assist South African businesses on the cutting edge of paradigm-shifting inventions that improve how we live our lives. We believe that through making investments in South African businesses, we will be able to contribute to the growth of our economy as well as the creation of new jobs.
The fund will exist harmoniously with the Futuregrowth Development Equities Fund which has been investing in unlisted development equity for 16 years.
According to Andrew Canter, CIO of Futuregrowth, the market conditions are favourable for a concept that involves risk-seeking.
For the past few years, we have been mulling over the possibility of establishing an early-stage equity fund. During this time, After watching how the South African market grew, taking into consideration transactions South Africa’s status as a prime location for developing innovative businesses and our participation in several equity transactions involving high growth rates.
The suite of developmental investment funds offered by Futuregrowth, which includes the Futuregrowth High-Growth Domestic Equity Fund, provides coverage for a wide range of impact sectors. They include infrastructure, social services, regional development, agriculture, and clean energy.