Global growth investor, General Atlantic has entered into a definitive agreement with Actis, in an aim to create a sustainable infrastructure division. Precisely, General Atlantic is acquiring Actis in an undisclosed amount, under which Actis will become the firm’s infrastructure investment arm. Consequently, this will create a USD 96 bn worth of combined Assets Under Management (AUM) under the investment platform.

Actis which is a global institutional investor, currently has approximately USD 12.5 bn worth of AUM spread in various parts of the world. In addition to its track record and shared commitment with General Atlantic, the agreement is expected to unlock various opportunities in energy, digitisation and economic dynamism to investors. 

“We are very excited to be joining forces with General Atlantic. The combined firm brings together distinct but highly complementary strategies that unlock long-term value for our investors across key structural themes including the energy transition and digital transition. The whole is greater than the sum of the parts. Both firms also have a hands-on approach to building businesses and platforms, and a shared commitment to sustainability.” Said Torbjorn Caesar, Chairman and Senior Partner of Actis.

In terms of the African real estate market, Actis’ acquisition is a major development as they are one of the major investors in the African real estate and infrastructure market, through various versions of the Actis Real Estate Funds and the Actis Infrastructure Funds. Their portfolio of infrastructure and real estate projects across sub-saharan Africa comprises:

• Eneo – Cameroon (invested in 2014)
• Azura – Nigeria/Pan-African (invested in 2016)
• Emicool – North Africa (invested in 2022)
• Jabi Lake Mall – Abuja, Nigeria (Invested in 2012)
• Heritage Place – Lagos, Nigeria (invested in 2011)
• Rack Centre – West Africa (invested in 2020)
• Mentor Management – Nairobi, Kenya (invested in 2011)

Interestingly, Actis’ and Atlantic’s agreement also comes at a time when sustainability of products and services is a key element gaining popularity in the world, across various markets including Real Estate and as such commendable.

Bill Ford, Chairman and Chief Executive Officer of General Atlantic, commented: “Addressing the global paradigm shift toward sustainability requires an economic transformation and a capital investment on a massive scale. With the addition of Actis, we are taking a significant step forward to add a sustainable investment capability which positions General Atlantic to capture this opportunity set for our investors.”

Actis’ acquisition by General Atlantic follows BlackRock’s recent acquisition of Adebayo Ogunlesi’s Global Infrastructure Partners on the 12th of January, 2024. These investments being channeled into sustainable infrastructure are underpinned by the growing demand for digital infrastructure and the energy transition. According to a survey conducted by Turner and Townsend, future real estate investment is the most promising in the technology space with Data Centers regarded as the top-performing sector in 2023. So far, this statement has been backed by the spate of investments the African sector has amassed in the past two years.

We love your feedback! Let us know what you think about Actis’ and General Atlantic’s agreemnet by sending an email to [email protected].

Subscribe to ei Pro to access affordable Real Estate data such as; sales rates, yields, supply drivers, and information on key real estate market participants who are active in the market.