Transaction Summary
Alitheia Capital and Goodwell Investments B.V. (Goodwell Investments) have exited their joint stake in Baobab Microfinance Bank Nigeria Limited (Baobab Nigeria), selling it back to Baobab S.A.S. (Baobab Group), the parent company. This transaction marks the first exit from their joint uMunthu I Fund. Baobab Nigeria is the Nigerian subsidiary of Baobab Group, a pan-African financial services firm operating across seven African countries, specialising in providing micro-banking services to individuals and MSMEs. Alitheia Capital and Goodwell first invested in Baobab, Nigeria in 2012 through the Goodwell West Africa Microfinance Development Company (GWAMDC), a fund focused on financial intermediaries serving MSMEs, becoming the first local investors in Baobab. They deepened their commitment through the uMunthu I Fund, growing their investment to €3.2 million (~$3.4 million) by the end of 2023. The exit delivered a 3x return on the original naira investment for the uMunthu I Fund.
Terms
- Buyer: Baobab Group
- Seller: Alitheia
