Award-winning investment manager TLG Capital is launching a new fund in January 2016, the TLG Credit Opportunities Fund (COF). This will be TLG’s second investment vehicle. TLG Africa, the permanent capital vehicle of TLG Capital, has committed over US$15M to seed the new fund.
AfrAsia Bank has issued a US$7.5M debt facility to TLG Africa. As experienced investors in African growth Small-Medium Enterprises (SMEs), TLG has successfully structured and invested in private credit deals which have produced equity-like returns while benefitting from the self-liquidating nature of debt. TLG’s investments have included credit enhanced products such as bank or multilateral guarantees.
TLG Africa’s experience of successfully executing and exiting several private credit enhanced investments into SMEs will no doubt benefit its inaugural fund, an appealing benefit to the new fund’s private and institutional investors. The COF seeks to achieve enhanced risk adjusted returns, annual distributions and clear liquidity options through an annual gated capital redemption policy. It will supply critical financing to corporates across the region.
Over the course of the year, TLG Capital has added two investment professionals and one additional advisory board member. David Webb, formerly at Goldman Sachs and Managing Director at TSU Capital, will focus on deal origination, special situations investments and fund marketing. Zhiyong Heng, formerly at DL Partners and Goldman Sachs, will focus on credit arbitrage and special situations investments. Nicholas Hofgren, former EMEA head of JP Morgan Private Funds Group, has joined the TLG Advisory Board of Directors. He is guiding fund raising and heading up an expanded Environmental and Social Responsibility (ESR) function on the TLG Investment Committee.
**About AfrAsia Bank Limited:**
Strategically based in Mauritius and with representation in key markets, AfrAsia Bank Limited serves the Africa-Asia trade corridor, combining its strengths and expertise in four core divisions: Private Banking and Wealth Management, Corporate Investment Banking, Global Business and Treasury. Since inception, the Bank has expanded through a combination of substantial organic growth and a series of strategic acquisitions, with core activities in Mauritius, South Africa, and United Kingdom.
AfrAsia Bank’s core banking and transactional capabilities are in Mauritius along with representative offices in Cape Town, Johannesburg and London. It also has an asset management arm, AfrAsia Capital Management Limited and a corporate and structured finance arm, AfrAsia Corporate Finance (Pty) Ltd.
**About TLG Capital Limited:**
TLG Capital is an award-winning private equity firm focused on Sub-Saharan Africa. In a short span of time, the firm has built a reputation for achieving superior commercial returns. It has garnered the backing of some of the most prominent and reputable investors in the alternative investments space. As a niche growth capital financier of indigenous companies in Sub-Saharan Africa, TLG invests profitably with the caveat that its investments should have a socially beneficial impact. In total, TLG Capital has invested in 16 deals and exited 5, with a blended value close to US$75M.