Lagos, Nigeria, 1 December 2014 – “We need to support private equity to create a more suitable environment for burgeoning businesses and organizations to thrive. Nigeria can experience growth through massive investment from both within and outside the country if the Federal Government encourages this by providing guarantee schemes for private equity firms to invest.” This was the viewpoint of Mr. Mustafa Chike-Obi, MD/CEO Asset Management Corporation of Nigeria (AMCON), and keynote speaker at the recently concluded CBO Capital 4th Annual Investors Conference themed: “Can Private Equity Save Nigeria?”
Speaking on the rationale behind organizing the Investors Conference, Bex Nwawudu, Director, CBO Capital said: “With the forthcoming elections in 2015, it has become imperative to understand and promote a healthy discussion of equity investment issues, and how the industry through its provision of long term equity can work to effect positive changes in the economy of Nigeria. We’re in the 4th year of our Annual Investor Conference, and this year, because we realize first-hand, how important Private Equity is, we chose to focus the discussions around it, and highlight how it directly contributes to economic and commercial growth in Nigeria, and indeed, the rest of the African continent.”
Continuing further, he said: “At a time when global institutional investors are increasing their exposure to the African continent and specifically to Nigeria within Private Equity allocations, we have surprisingly little local content or government support for the local development of the asset class. With this event, we intend to create a platform that seeks to create dialogue, connect the dots and deliver local insight to the private equity discussion. “
The panel discussions highlighted many themes surrounding the importance of the relationship between fund managers, institutional investors (LPs) and regulators. Key takeaways included whether the traditional PE fund model and investment structures were appropriate for Nigerian PE and if there were other models and innovations to consider; the importance of incorporating institutional Environmental, Social and Governance (ESG) standards in investment processes; and how to develop the Nigerian PE landscape from a cottage industry to an institutional asset class with the support of the Pension Fund Administrators (“PFAs”) and the regulatory institutions
The afternoon keynote address was given by Ms. Eme Essien Lore, the newly appointed Country Manager of Nigeria, International Finance Corporation (IFC). Ms Essien Lore reiterated IFC’s commitment to the region and highlighted about IFC’s recent increase in investment activity in Nigeria. She also shared her views on how the housing sector, power, and the emergence of the middle class are driving IFC’s strategic areas of focus.
Some of the other speakers who facilitated panel discussions and sessions at the conference include: Ms. Barbara James, Director, Henshaw Capital, Dr. Farouk Aminu; Head Research & Corporate Strategy, PENCOM, Mr. Raj Kulasingam; Senior Counsel at Dentons, Mrs. Ijeoma Agboti-Obatoyinbo, Director, The Abraaj Group, Mr. Ugo Ikemba; Commissioner, Securities and Exchange Commission Nigeria, and a host of others, representing leading PE, Investment and Fund Management firms.
In its 4th year, the CBO Capital Investors conference has a combined attendance of nearly 2000 delegates, with attendees drawn from the private equity, investment, banking, fund management and real estate sectors.