With the completion of the Heritage Place, a skyscraper in Ikoyi, Lagos, Actis, one of the leading private equity firms in Africa has morphed from a serial and early investor in modern shopping malls to a major investor in prime office buildings.
This is another dimension to its investment strategy in Nigeria.
Heritage Place is a world-class skyscraper development situated in Lagos’ commercial and retail area, just a few minutes walk from the city’s most important venues. The ultra-modern, eco-friendly building is Nigeria’s most advanced development, employing the latest building principles and state-of-the-art finishes.
Heritage Place was completed earlier this year. The development management role overseen by Laurus Development Partners and Primrose Development Company with debt financed by FCMB PLC. The company has not disclosed the cost of the building, but it is estimated to nearly USD 100 million. Actis has invested hugely into projects like this in the past. Moreover, Actis, West African head office is in the same building it is more likely that it will majorly make money from lease and rentals.
The possibility of cashing-out of the investment is high as it was listed among its investments.
However, unlike other private equity firms, it usually exits profitable investments as quickly as possible. The company had in 2008 invested USD100 million alongside Paragon, Rand Merchant Bank in Ikeja City Mall. The mall was sold to Attaq and Hyprop.
Actis said its strategy is a global platform offering a multi-asset strategy through the asset classes of private equity, energy and real estateTill date the company has made over 200 investments, 130 exits and a total investment capital of USD7.8 billion. The company has invested in Diamond Bank, Mouka Limited, Sigma Pensions etc.
