In a transaction totalling $87 million, MTN Group, the South Africa-based telecommunications company, has sold its interest in Digital Prosperity Fund I and an allied co-investment vehicle for TravelStart Group, both managed by Amadeus Capital Partners, to HarbourVest. Digital Prosperity Fund I is a 2013 vintage fund containing interests in 10 companies, operating in India, Brazil, Turkey and other emerging markets. MTN was the largest investor in fund. The transaction closed in late June.
Anne Glover, CEO, Amadeus Capital Partners, said, “Amadeus has developed a strong and productive relationship with MTN over the past six years and is now pleased to welcome HarbourVest as an investor. HarbourVest is known as an active, value-added limited partner that supports value creation in portfolio companies, with a strong track record in emerging markets. We look forward to working with HarbourVest to continue to grow and develop the exciting portfolio of investments in Digital Prosperity Fund I.”
HarbourVest will support the future growth of the portfolio, which will continue to be managed by Amadeus.
Tim Flower, Managing Director of HarbourVest Partners, said, “HarbourVest is excited about the partnership with Amadeus and the opportunity to support portfolio companies increasing prosperity and connectivity in markets such as South Africa, sub-Saharan Africa, India, and Brazil.”
Companies in Digital Prosperity Fund I include Indiamart, the provider of India’s largest online B2B marketplace for business products, which recently completed its IPO on 26 June (one of the first since PM Modi’s re-election) at an equity valuation of approximately $400 million, and services and online travel platform Travelstart, which just recently acquired Club Travel. A third portfolio company Iyzico, the market-leading Turkish payments processor, recently announced its $165 million acquisition by Naspers Ltd.’s PayU, its biggest fintech acquisition to date.
MTN Group sold its positions as part of a plan to realise ZAR 15 billion worth of disposals over the next three years, to focus on its core activities.
MTN Group and Amadeus Capital Partners were advised by Rede Partners.
About Amadeus Capital Partners
Amadeus Capital Partners is a global technology investor. Since 1997, the firm has raised over $1bn for investment and used it to back more than 145 companies. With vast experience and a great network, Amadeus’ team of investors and entrepreneurs share a passion for the transformative power of technology. We invest in consumer services, financial technology, artificial intelligence, cyber security, medical technology, digital healthcare and digital media.
Pioneering businesses we’ve backed include gene-sequencing innovators Solexa (acquired by Illumina), cyber security vendor ForeScout, eye-tracking specialist Tobii; Optos, producer of advanced retinal imaging and Kreditech, provider of financial products to the ‘underbanked’. To learn more visit https://amadeuscapital.com and follow us on Twitter @AmadeusCapital.
About HarbourVest Partners
HarbourVest is an independent, global private markets investment specialist with 36 years of experience and more than $58 billion in assets under management, as of March 31, 2019. The Firm’s powerful global platform offers clients investment opportunities through primary fund investments, secondary investments, and direct co-investments in commingled funds or separately managed accounts. HarbourVest has more than 500 employees, including more than 125 investment professionals across Asia, Europe, and the Americas. This global team has committed more than $36 billion to newly-formed funds, completed over $21 billion in secondary purchases, and invested over $10 billion directly in operating companies. Partnering with HarbourVest, clients have access to customized solutions, longstanding relationships, actionable insights, and proven results.
About Rede Partners
Rede Partners is a leading independent fundraising advisor to the private equity industry, which since inception in 2011 has advised clients on €25 billion of primary capital raising and €2 billion of GP-led transactional volume. With a well-resourced 60-strong team based in London and New York, Rede has a rigorously implemented approach combining focus, a comprehensive service offering across the entire spectrum of investor-facing activities, and a long term business development perspective. The Firm’s business model is underpinned by an unwavering commitment to delivering against its client’s objectives, helping them tackle the challenges and opportunities of today’s capital raising environment. For more information please visit: https://www.rede-partners.com/