African private equity (PE) is growing up. Long reliant on trade sales amid limited exit routes, the industry is slowly maturing. While trade sale exits continue to dominate, representing 47% of exit volume between 2000 and 2023, secondary sales (or "PE to PE" deals) are on a steady rise. From approximately 15% of exits a decade ago, they now comprise nearly one-third of all exits, reaching 32% in 2024. This trend signals a growing confidence within the African PE community to acquire assets from peers and to unlock value that a previous fund manager may have left unrealised.
Secondary activity is evolving, not just in who acquires assets but also in how exits are structured. A key development is the rise of GP-led secondaries, particularly through continuation vehicles (CVs) or continuation funds, which enable GPs to transfer portfolio companies into new vehicles. These vehicles may or may not be backed
