Africa Broker-Dealers: Growing Flowers and Seed Investors

As a follow-up to spotlighting KKR’s investment in flower firm Afriflora, a description of the African Securities Exchange Association (ASEA), which brings together members from the 23 securities exchanges in Africa  can be found here.

Africa investor, the trading platform from Marco Polo World  seamlessly connects African Brokers and Exchanges with global buy side originators, broker dealers and exchange points. It represents the most formidable order dissemination and execution network for Africa available in the market today.

If you’re considering trading into and out of Africa and emerging markets, talking with the Africa investor Marco Polo Network should be your first step. We offer the simplicity of a single connection to African and emerging markets around the globe.

For firms that originate trades into Africa and local brokers that execute them, The Africa investor Marco Polo is the electronic, FIX-enabled trading network that brings transactions into compliance with regional rules and regulations, allowing for seamless cross-border transactions.

These capabilities are multi-directional. Traders that are based in Africa use the same platform to execute trades outside of their own borders, without worrying about different versions of FIX or trading rules and regulations in other countries.

As a network built by capital markets professionals for capital markets professionals, we provide instant infrastructure, reliable transaction messaging, and comprehensive 24/6 client support in all markets. Our goal is to support African exchanges and free traders to focus on what they do best.

Bankers Smell Opportunity in Africa Flower Deal; Private Equity Firm KKR Brings Home the Roses deal spotlight courtesy of Simon Clark reporting for the Wall Street Journal.

LONDON—For private-equity giant KKR +0.30% & Co., a debut investment in Africa smells of sweetheart roses. {And for others seeking investment capital for Africa-based opportunities, provides a global resources of brokers, dealers and private investors seeking new deal opportunities}

KKR is investing about $200 million in Ethiopian flower company Afriflora; above, an Afriflora worker. Afriflora

KKR is investing about $200 million in Ethiopian flower company Afriflora; above, an Afriflora worker. Afriflora

Afriflora is an Ethiopian company that grows about 730 million of the flowers a year for export to Europe, making it a significant player in the east African country’s blossoming cut flower export industry. KKR is investing about $200 million from its $6.2 billion European fund to buy a stake in the company, according to a person familiar with the transaction.

The deal opens a new chapter for KKR, the New York-based firm best-known for its hostile $25 billion leveraged takeover of RJR Nabisco RAI +1.47% in 1988, the subject of the book “Barbarians at the Gate.”It also comes as private-equity firms, seeking opportunities outside the crowded markets of North America and Europe, show tentative interest in Africa. KKR rival, Washington-based Carlyle Group CG -0.34% LP, raised a $698 million African fund earlier this year and has invested in a food distributor and a logistics company, for instance.

Private-equity investment in sub-Saharan Africa increased 43% to $1.6 billion in 2013 from the previous year, according to the Emerging Markets Private Equity Association. Investors are attracted by fast economic growth in some countries on the continent. The Ethiopian economy grew by an average 10.6% a year between 2004 and 2012, according to the World Bank.

“We see Africa as a long-term attractive investment destination,” said Kayode Akinola, head of KKR’s African operations. “The potential is astounding. But the work to get there is going to be considerable.”

For the full story from the Wall Street Journal, click here