African Capital Alliance (ACA), one of Nigeria’s most established private equity firms founded by Nigeria’s former Minister of Industry, Trade, and Investment, Okey Enelamah, is planning to raise up to $750 million for its fifth private equity fund, targeting investments in mid-sized businesses across sub-Saharan Africa.

The fund, Capital Alliance Private Equity Fund V (CAPE V), has a fundraising target of $500 million and a hard cap of $750 million. It is expected to build a portfolio of 10 to 15 companies, taking control or significant minority stakes in businesses with strong performance profiles and the potential to become market leaders.

The International Finance Corporation (IFC), the private-sector investment arm of the World Bank Group, is proposing to commit up to $30 million in equity to the fund, alongside a $20 million co-investment envelope to support investments in selected portfolio companies.

The proposed investment, disclosed on November 2, 2026, is pending approval, with a projected board date of January 31, 2027.

IFC proposes $50 million commitment

IFC’s proposed participation consists of an equity investment of up to $30 million, subject to a limit of 20% of the fund’s total committed capital, and a $20 million co-investment envelope under delegated authority.

The development finance institution expects its equity commitment to help ACA secure a viable first close, while the co-investment facility will provide additional capital for portfolio companies as they pursue expansion and business growth.

IFC’s involvement as an anchor investor is also expected to strengthen confidence among other prospective investors in ACA’s ability to execute its regional investment strategy and scale across challenging private equity markets.

African Capital Alliance expands its private equity ambitions across Africa

Founded in 1997, African Capital Alliance was the first private equity firm to establish an on-the-ground presence in Nigeria. The investment manager has raised more than $1.2 billion through four private equity funds and one real estate fund.

Over the years, the firm has expanded beyond its original Nigeria-focused investment strategy to build a portfolio of businesses with regional operations and pan-African exposure. Through CAPE V, ACA intends to pursue transactions ranging from $20 million to $80 million, focusing on mid-cap companies across sub-Saharan Africa. The fund is structured as a limited partnership registered in Mauritius under the country’s Partnership Law.

Beyond financing individual companies, CAPE V is expected to improve access to private equity capital for African mid-market businesses and support operational improvements and long-term value creation. IFC also plans to work with ACA’s fund manager to implement an Environmental and Social Action Plan and strengthen policies that expand economic opportunities for women at both fund and portfolio-company levels.