Sudanese group to set up $1bn agri equity fund
Khartoum, October 21, 2009
Kenana Sugar Company, a leading Sudanese sugar company, has signed an agreement with Egypt's Beltone Financials to set up a $1 billion private equity fund management company for agriculture projects.
The joint venture will be the first of its kind in Sudan that will focus on agro industry projects in the country and the Middle East and North Africa region.
The joint venture represents a breakthrough in Kenana's efforts to secure funds to finance the grand sugar plan and is in line with Kenana's role in promoting high-potential agricultural initiatives of the National Agricultural Revival Program, said a top official.
'Kenana's partnership with Beltone Financials is an important step in our mission to increase the economic contributions of the agricultural sector. The fund opens new business opportunities and expands the agri-business into new horizons across the Mena region,' said Mohamed El Mardi El Tegani, managing director, Kenana Sugar Company.
Kenana expects the new fund management entity to attract investors from state funds, investment banks, investment companies, venture capitalists and high-net worth individuals in the Mena region and Sudan.
A joint technical team made up of representatives from Kenana and Beltone are working together to finalise the technical and legal arrangements prior to the formal launching of the Fund, which is expected to be held within the next few weeks.
The establishment of the Fund signifies a major step in promoting and implementing ambitious agro-industrial projects, delivering a far-reaching positive impact on the agricultural sector and the economy in general, he added.
Kenana has accordingly been consolidating its resources, technical knowledge and expertise to ensure the success of the new venture.-TradeArabia News Service