Sarona Frontier Markets Fund 3, LP
Last updated 12 May 2020, by Impactyield.
Emerging countries (256) / Africa (127) / Eastern Africa (50)
Sarona Frontier Markets Fund 3 (SFMF3) has now begun fund raising targeting $300mm.
It follows the successful commitment of the $150mm raised by its predecessor. Like SFMF2, SFMF3 will be a diversified portfolio of funds and co-investments operating primarily in the high growth markets of Asia, Africa, Latin America and Emerging Europe.
The objective is to achieve attractive financial returns by supporting local PE teams who identify and help expand high-quality companies, employing progressive business strategies, and operating to the highest business, ethical, social and environmental standards.
Sarona aims to maximise the positive impact of its activities by creating high quality jobs and providing access to goods and services to communities where they had not been previously widely available. It also recognizes the need for strict Environmental, Social and Governance standards
SFMF3 will allocate minimum 60% to primary funds and up to 40% to purchasing stakes of funds in the secondary market and co-investing alongside GPs. Diversification will be achieved across continents, countries, sectors, managers, companies and vintages. Transaction size will depend upon the final size of the Fund, but we expect them to range between $10-30mm.
SFMF2 negotiated a financing facility from the U.S. government’s agency OPIC, and a first loss guarantee from the Canadian government. We aim to secure similar enhancements for this Fund.
Sarona Frontier Markets Fund 3 (the Fund) expects to make investments (“Portfolio Investments”) in private equity funds focused on small and mid-market companies (SMEs) in Emerging and Frontier markets. Sarona’s target markets are generally defined as those countries with a 2014 GNI per capita below $13,000, as shown by the latest World Bank statistics. The Fund may also make direct co-investments in some of the companies held by the private equity funds and may acquire, on a secondary basis, interests in private equity funds from third parties.
of track record
the year funded
Sarona Asset Management
Headquarters location: Canada
Other funds managed by this asset manager: Sarona Frontier Markets Fund 2, LPSarona Risk Capital FundSarona Frontier Markets Fund 1 LPSarona Risk Capital Fund 1 LP
Key performance indicators
Asset manager: Sarona Asset Management
Product track record: Fund has 7 years of track record
Target IRR: n.a.
Committed Capital: n.a.
Target return category: Risk-adjusted market-rate of return
Fund domicile: Cayman Islands
Product status: Open - no committed capital
Style/Stage: Growth Stage, Secondary
Inception year: 2016
Vintage year: n.a.
Target region: Africa, Eastern Africa, Emerging countries
Target close date: n.a.
Product term: 12 years
Assets under management: 300,000,000 USD (US Dollar)
Investment size: Min: 0; Max: 0; Avg: 10,000,000
Currency of investments: USD (US Dollar)
Currency for fund / product figures: USD (US Dollar)
Fund investments to date: 0
Fund investments to date exited or repaid: 0
Management fee: 1%
Carried interest: 10%
Hurdle rate: 8%%
GIIN Investors' Council Investment: No
Limited Partners / Investors: n.a.
Limited Partner / Investor Type: Endowments/Foundations, Family Office, Pension Funds, Other Institutional Investors
Phone number: 15198837557.00
If you wish to have your details removed from this database please email email@example.com
Managing Partner & CEO
Partner & MD Fund Investments
Sarona believes that business leaders who employ progressive business practices outperform their peers. These leaders seek ethical, social and environmental excellence. Such business excellence is believed to reduce risk, strengthen long-term sustainable value, and enhance exit possibilities. Sarona continually strives to ensure effective social and environmental management practices in all its activities, products and services, with a special focus on the following:
• Consistency with Sarona’s Environmental, Social and Governance (“ESG”) performance requirements agreed;
• Reporting on ESG and Impact targets;
• Annual review against ESG performance requirements;
• Ensuring investments in Private Equity Fund are not on the excluded list of activities;
• Meeting Sarona’s commitments of the United Nations’ PRI, its Principles for Investors in Inclusive Finance and as a Certified B Corporation;
• And, ensuring transparency in its investment activities to investors.