In Search of Private Equity? – SAVCA Directory
Wondering where to find that capital to expand your business? The Southern African Venture Capital and Private Equity Association (SAVCA) has just released a comprehensive and well-structured directory which lists the details and investing preferences of all members and associated members of the association.
Says Malcolm Segal, recently appointed chairperson of SAVCA: “The directory is an indispensable guide for entrepreneurs and business people looking for that round of capital to take them to the next level in their business development.”
“The directory is also the only fully comprehensive database of fund managers and transaction advisors in the private equity and venture capital markets in Southern Africa.”
The directory features a quick-glance matrix showing capital seekers which private equity and venture capital businesses capital providers will invest in and at what levels. Copies are available at R171 including VAT from the SAVCA head office.
Turning to the association, Segal says that with the new committee in place comes an increased scope, reach and diversity. “This is something we haven’t had before and it brings black economic empowerment issues to the fore.”
“For a start the Industrial Development Corporation (IDC) – one of the major players in the private equity market – is represented on the committee. Added to which, there is representation from NEF Ventures and the JSE.”
Segal says that 2002 was a challenging period for the private equity and venture capital industry, pointing out that the industry operated in a global climate characterised by turmoil in stock markets and a slowdown in economic growth. In turn, the SAVCA/KPMG Survey also reflected an overall slowdown in the local industry.
South Africa’s private equity capital under management and commitments amounts to a substantial R40,6 billion. The industry has not seen any significant growth over the last three years, with reduced levels of new funding commitments being made by third party investors (down from the high of R3,2 billion in 2000.
The death of the listing frenzy and change in the global economic landscape is forcing many of the smaller capitalised companies, who have been victims of the listing boom, to reconsider the merits of their continued lsiting and seek alternate sources of capital support. The private equity industry provides a natural spawning ground for such initiatives whilst offering an alternate source of asset class to the discerning investor.
Ends
Directories available from:
Betty Furman
Southern African Venture Capital and Private Equity Association
Tel: 011 885 2666
Email: savca@worldonline.co.za
Notes:
The main objectives of SAVCA are to:
- Promote the venture capital and private equity profession in Southern Africa
- Represent the profession at the national and international level
- Develop and stimulate professional and transactional venture capital and private equity Investments throughout Southern Africa
- Stimulate the expansion of venture capital and private equity throughout Southern Africa
- Collect information from markets and from members
- Circulate information to members and the outside world
- Stimulate and maintain contacts within the membership
- Contribute to the management development of investors and investees
- Provide the relevant authorities with proposals for improvement in the corporate, fiscal and legal environment for venture capital and private equity in Southern Africa
- Maintain ethical and professional standards