Vantage Capital (www.VantageCapital.co), Africa’s largest mezzanine fund manager, announced today that it had closed a €66 million mezzanine investment in Camusat Holding S.A.S, the proceeds of which will be used to refinance debt and fund the capital expenditure required for expansion of the group’s AktivCo division. Vantage Capital’s investment is part of a global financing package of €81m provided in consortium with Eurazeo, a leading European investment group.
Camusat is a leading telecommunications player managing fully integrated and sustainable business models for the deployment and management of telecom infrastructure whilst championing the decarbonization of mobile network operators (MNOs). Partnering with major investment funds that support green investments, Camusat is pursuing its ambition to become the leading “Infra as a Service” partner for the mobile telecom industry, with a broad presence in emerging markets, especially in Africa. The group operates across twenty countries (including fifteen on the African continent) and through two synergistic divisions, AktivCo and OpCo:
- AktivCo is the Infrastructure as a Service business structuring and financing complex transactions under long-term contracts to transform the telecom infrastructure by applying sustainable business models. With a strong focus on low carbon footprint solutions and digitalization of operations, AktivCo accelerates the expansion and modernization of MNOs’ infrastructure and reshapes the telecom world for cleaner communications; and
- OpCo is a telecom service partner that combines technical expertise with operational excellence to design, build, and manage telecom infrastructure.
Since inception, Camusat has been capitalizing on the rapid expansion of the telecom industry, but most importantly the ever-growing need of MNOs to outsource non-core operations to specialized service providers. This trend is observed worldwide but is more prevalent in emerging markets, especially Africa. As network coverage remains relatively low, MNOs are being pushed by regulators to ramp up their infrastructure investment especially to increase coverage in rural areas, where most of the population lives. MNOs therefore need to contract with service providers like Camusat to support the rapid and viable roll-out and management of their tower infrastructure.
In this context, Camusat has established itself as the key strategic partner for telecom operators such as Orange, Moov Africa (Maroc Telecom group), MTN, Vodafone, Airtel and others. The group’s comprehensive offering drives long-term performance for mobile networks and inclusive connectivity, digitalization and sustainable access to technology, making it a one-stop-shop for MNOs. Its multi-decade experience and track record attest to the quality of its performance.
Mr. Richard Thomas, CEO of Camusat, commented, “we are very pleased to have concluded the transaction with Vantage Capital. This financial and strategic partnership comes at a time when we are further expanding our presence in Africa, and we are confident that Vantage Capital’s extensive network and expertise on the continent will be a great support in achieving our objectives.”
Mr. Luc Albinski, Executive Chairman at Vantage Capital, added, “we are proud to partner with such a leading and dynamic group as Camusat. Throughout the process, we have been impressed by management’s deep knowledge of the telecom industry, but also their firm commitment to help increase connectivity in parts of Africa where network coverage remains underdeveloped.”
Mr. Thibaut de Rodellec, Deputy CEO of Camusat, said, “we were convinced from our very first discussions that Vantage Capital and Camusat would be a great fit. We always look beyond the financial aspect when forming new partnerships, and we were glad to discover that our firms share common ethics, vision and dedication. We will ensure this partnership is a success for all stakeholders.”
Mr. Driss Benabdeslam, Partner at Vantage Capital, concluded, “by investing in Camusat, we are backing a group that is engaged in a vital and buoyant industry and constantly strives for operational and corporate excellence. Camusat has incorporated best-in-class ESG practices and implemented various CSR measures directed at supporting local communities and minimizing greenhouse gas emissions from the telecom sector. We are thrilled to support the group in creating more value and generating an even greater positive social impact over the years to come.”
This transaction represents Vantage Capital’s 39th investment across four generations of funds with its portfolio of investments spread across eleven African countries.
Vantage Capital was advised by Clifford Chance (in Morocco) who acted as its legal counsel. KPMG (in France) and Webber Wentzel (in South Africa) provided tax advice, KPMG (in France) was the financial advisor, Emerton (in France) provided commercial advice, and Ibis Consulting (in France) reviewed the environmental impact.
Camusat was advised by Goodwin Procter (in France) who acted as their legal counsel and Marlborough Partners (in France) who acted as financial advisor.
Distributed by APO Group on behalf of Vantage Capital Group.
About Vantage Capital:
Founded in 2001, Vantage Capital is an Africa-focused fund manager that has raised funds of over $1.6 billion.
Since 2006, Vantage Capital’s Mezzanine division has made 39 investments across four successive funds into 11 African countries, making it the largest and most experienced independent mezzanine funder on the continent. In addition, Vantage Capital’s GreenX division has made 15 senior debt investments into South African solar and wind energy projects across three funds. Vantage Capital launched Vantage Best in Class in 2022 to provide long-term financial and strategic support to education businesses operating in Europe, the Middle East and Africa. As a first step, Vantage Best in Class has partnered with Maple Bear Global Schools, the largest and fastest growing franchise of K-12 bilingual schools in the world in a €100 million investment programme for the Central & Eastern European region.
Vantage Capital targets mezzanine debt opportunities of $10-50m across more than a dozen key African markets.
Mezzanine debt is an intermediate form of risk capital, which is situated between senior debt, the least risky tranche of the capital structure, and equity, the riskiest tranche of the capital structure. It combines elements of both debt and equity thereby providing companies with long-term funding on terms which are less dilutive to shareholders than pure equity.
Website: www.VantageCapital.co.za
About Camusat:
Headquartered in Paris, Camusat is a global group operating in the telecommunications industry across Africa, Europe, the Middle East, and Latin America.
Over almost five decades of existence, it has established itself as leading player and a key partner for telecom operators, thanks to a comprehensive offering and best-in-class capabilities. With the launch of its AktivCo division in 2017, the group pioneered the ESCO (Energy as a Service) and TWESCO (Tower & Energy as a Service) models in Africa, enabling clients to achieve significant cost-savings and streamline their cash outflows, while ensuring a positive environmental impact with the use of renewable energies, low environmental solutions and smart technologies to support the deployment, extension and management of telecom infrastructure. The group has been able to secure infrastructure debt funding from major development finance institutions, including FEI (Facility for Energy Inclusion), Africa Go Green Fund, Proparco, and Norfund.
Camusat employs more than 2,000 people and is guided by a highly dedicated and experienced management team with deep industry expertise and firm commitment to financial, operational, and environmental excellence.
Since 2016, the group has been majority-owned by Equistone, a leading mid-cap private equity fund in Europe with 12 billion euros of assets under management since inception. Camusat’s management owns the remaining share capital.