TLG Credit Opportunities Fund (COF) has invested an undisclosed amount in Homestrings, a diaspora crowdfunding platform for frontier and emerging markets.
Zain Latif, CEO of TLG Capital, said: “This is the third private investment deal that we have done with the Credit Fund.”
“We have invested in Broadband Homes in Ghana and MyBucks, which listed two weeks ago in Frankfurt,” he told Africa Global Funds.
COF was launched in January this year and is the second vehicle for TLG Capital, a private equity firm focused on Sub-Saharan Africa.
COF aims to give investors access to the African consumer growth story and focuses on USD credit opportunities with an enhanced liquidity profile.
Commenting on the latest investment, Latif said: “We are excited by our investment in Homestrings and are keen to work closely with their senior team of experienced bankers. In joining the Homestrings Investment Committee, TLG is keen to add to the Homestrings story and pipeline, helping to facilitate equity and debt crowdfunding for a wide range of projects and deals.
“TLG’s recent investment in Homestrings is a testament to our ability to undertake financing which generates returns for our shareholders but also make a difference in its geographic area of interest (sub-Saharan Africa) as well as elsewhere,” he added.
Since launching in 2012, Homestrings has raised over $25m and invested in over 35 transactions in 12 countries across Africa and Eastern Europe.
Its mission is to facilitate investment in emerging and frontier markets through equity and debt crowdfunding.
With over $140bn in expatriate investment capital repatriated “back home” every year, and a $2.2trn frontier market SME funding gap, Homestrings is well positioned to facilitate the connection between the two.
TLG’s investment enables Homestrings to strengthen its technology, origination, sales and marketing activities and facilitate access to emerging and frontier market investment opportunities.
Eric Guichard, Homestring’s CEO, said: “We are delighted to welcome TLG Capital as a new strategic partner. As a leader in frontier market investments, TLG’s experience, network and pipeline perfectly matches our expansion goals.”
“Its deep commitment to investing in profitable and impactful opportunities in frontier markets dovetails with our investment philosophy,” he added. Source: Asoko Insight