Switzerland-based BlueOrchard Finance has raised about 90% of its final targeted amount for its emerging markets-focused private equity vehicle. The investor is looking to touch final close on the fund by the second quarter of 2024.
The investor has brought in $90 million for InsuResilience Investment Fund Private Equity II (IIF PE II), which is targeting $100 million at final close.
LPs in the fund include British International Investment (BII), which has committed $15 million to the fund.
Finland’s Nordic Development Fund (NDF) has also committed $13.5 million to IIF PE II. NDF is also providing an additional $1 million to the fund’s technical assistance facility structured as a grant.
This latest fund is anchored by KfW Development Bank, a Germany-based development financier which committed an undisclosed amount to the vehicle in 2022.
Schroders Group, a UK-based asset manager is also an LP in the fund – and also owns a majority stake in BlueOrchard.
BII is backing the fund as a return LP having committed capital to two BlueOrchard funds, including BlueOrchard Covid-19 Emerging and Frontier Markets MSME Support Fund, which is targeting $350 million final close target.
The LP also committed capital to Regional Education Finance Fund for Africa (REFFA), an Africa focused debt fund which is also targeting $100 million at final close.
The latest size of the fund is the same as the initial for the predecessor, InsuResilience Investment Fund (IIF) Private Equity Fund, closed at $80 million in 2020.
“Every year, natural disasters and climate-related events are impairing thousands of businesses and pushing millions of people into poverty,’’ said Felix Hermes, head of private equity and sustainable infrastructure and member of the executive management at BlueOrchard. ‘With BII and NDF, we are thrilled to have strong partners join us in this endeavor. Together, we can make a real difference and provide much-needed support to those who need it the most.”
Jo Fry, head of intermediated financial services at BII represented the LP.
Satu Santala, managing director represented NDF.
The new fund will look to backs financial services companies across Africa, Asia and Latin America that offer climate insurance products.
Deals will include backing insurers and reinsurers, aggregators, and technology companies.
The fund also has a technical assistance facility to its partner companies.
Notable deals from the fund include Pula, an emerging markets focused financial services technology company focused on the insurance space sealed in 2024.
Please see full data on this fund here
