Raising money is tough for all founders, especially if they are operating in a tough market like South Africa.
Tamela Capital Partners, however, aims to change this.
Tamela Capital Partners, a Sandton-based independent fund manager, wants to finance mid-market companies who wish to grow their businesses, enter new markets and accelerate growth through expanding operations or consummating strategic acquisitions.
The fund manager, which is owned by of Tamela Holdings, has announced today that the Tamela Mezzanine Debt Fund 1 has reached R420 million.
Tamela Holdings has advised some of the largest empowerment deals in South AFRICA – including MTN’s R9 billion Zakhele scheme, Barloworld’s Khula Sizwe empowerment vehicle, etc.
“The Tamela Mezz Fund remains open to new investors and we expect to reach Final Close in the next 14 months at about R1.5 billion,” said Moeketsi Mokuoane, a principal of the Tamela Mezzanine Debt Fund.
Other principals of the Tamela Mezz Fund are Vusi Mahlangu and Sydney Mhlarhi.
The fund expects to provide capital ranging from R50 million to R150 million per investee company.
The fund will partner with entrepreneurs, providing them with financing options and necessary strategic support to better enable them to contribute to economic growth and job creation.
“Although the Tamela Mezz Fund will predominantly invest in South Africa, up to 20% of the capital may be invested in Botswana and the Common Monetary Area countries. We have a healthy pipeline of transactions that are currently at various stages of evaluation,” said Mahlangu.
Tamela Holdings, a black-owned and managed investment, corporate finance advisory and fund management company, was founded by Mahlangu and Mhlarhi in 2008.
Both Mahlangu and Mhlarhi pioneered independent mezzanine credit financing in South Africa in 2005.
