AfricInvest has sealed a deal to exit its Morocco-based healthcare company, in a secondary buyout (SBO) to Vantage Capital.
The investor is exiting its stake in Promamec, with Vantage paying approximately $33.1 million (€30 million) worth of equity for transaction.
This transaction is subject to regulatory approval.
AfricInvest first backed the company in 2018, acquiring a 34.57% stake. The investor had structured the deal through Maghreb Private Equity Fund IV (MPEF IV) closed at €194 million in 2018. The transaction saw the investor seal the first deal from the fund.
During the AfricInvest’s holding period, the company increased the number of employees by over 7% from 280 in 2019 to over 300 in 2023.
Vantage is structuring the deal through Vantage Mezzanine Fund IV, closed at $377 million in 2023.
This transaction sees Vantage seal its 34th deal from four funds, with portfolio companies spread across 11 African countries.
The transaction also marks Vantage’s third investment in Morocco.
Promamec will use part of the capital for capacity expansion as it works on plans to increase its production capacity and broaden its product offering.
Part of the new capital will be used for geographical expansion. The company is working on plans to expand regionally across sub-Saharan Africa.
Skander Oueslati is chief investment officer and deputy managing director at AfricInvest.
Luc Albinski, executive chairman at Vantage Capital represented the investor.
Driss Benabdeslam, associate partner at Vantage Capital also worked on the deal.
Headquartered in Casablanca, Promamec manufactures and distributes branded medical and paramedical devices for consumers across Morocco.
Created in 1981, the company is headed by chief executive officer Naoufal Lahl and employs over 300 people as of 2023.
Clifford Chance is acting as legal advisor to Vantage on this deal.
Derenia Capital acted as financial advisor to Vantage on this transaction.
PwC and Deloitte provided financial and tax due diligence advisory services to Vantage on this deal.
| Exit Name | Promamec (2023) |
| Story Month | April |
| Exit Data ID | Available shortly |
| Exit Year | 2023 |
| Portfolio Company Name | Promamec (GFMP) |
| Primary Sector | Healthcare |
| Country Headquarters | Morocco |
| Company Size | 300 (2023) |
| Investment Deal Year | 2018 |
| Exiting Investors | AfricInvest |
| Exit Type | SBO |
| Buyer (s) | Vantage Capital |
| Exiting Funds | Maghreb Private Equity Fund IV (MPEF IV) |
| Exit Size Class | Mid-Cap ($20m to $99.99m) |
| Exit Deal Size (USD) | $33.1m |
| Exit Size (Local Currency) | €30m |
| Overall Stake | n/d |
| Sellers & Stakes | AfricInvest (n/d) |
| Key People in Deal | Luc Albinski, Executive Chairman (Vantage Capital), Driss Benabdeslam, Associate Partner (Vantage Capital), Skander Oueslati, CIO &Deputy MD (AfricInvest) |
| Advisors | Clifford Chance, Derenia Capital, PwC, Deloitte |
| Advisory Details | Clifford Chance is acting as legal advisor to Vantage on this deal.
Derenia Capital acted as financial advisor to Vantage on this transaction. PwC and Deloitte provided financial and tax due diligence advisory services to Vantage on this deal. |
| Returns (x multiple and/or IRR) | n/d |
| Investment Achievements | During the AfricInvest’s holding period, the company increased the number of employees by over 7% from 280 in 2019 to over 300 in 2023. |
| Original Deal (s) | Promamec (2018) |
| Related News Stories | 2010-2023 |
Source: Deal Book Africa
