The African Development Bank Group has approved a $15 million equity commitment to the Adenia Entrepreneurial Fund 1, marking a new push to scale small and mid-cap businesses across Africa. Decided by the Bank’s Board of Directors in Abidjan on 19 November 2025, the investment positions the Fund as a key vehicle for channeling growth capital into high-impact sectors. The move reflects the institution’s broader strategy to foster private sector development, strengthen economic resilience, and promote more inclusive growth on the continent.
African Development Bank backs Adenia Entrepreneurial Fund 1
Adenia Entrepreneurial Fund 1, managed by private equity firm Adenia Partners, will deploy capital into small and mid-sized companies operating in multiple African markets. The Fund intends to acquire majority stakes, giving it the leverage to drive operational upgrades, improve governance standards, and back long-term expansion plans. By pairing fresh equity with active ownership, the strategy is designed to unlock performance gains that many undercapitalized businesses struggle to achieve on their own.
Focus on resilient and essential sectors
Investment from the Fund will target companies in sectors viewed as critical to economic stability and social well-being. These include light manufacturing, consumer goods and services, renewable energy, health care, and education, all of which play central roles in employment and productivity. By concentrating on these areas, the Fund aims to support businesses that are both commercially attractive and strategically important for long-term development.
Job creation, tax revenues, and regional integration
According to estimates from the African Development Bank, the Fund’s portfolio is expected to generate about $55.5 million in tax receipts for African governments over its life. It is also projected to support the creation of roughly 1,810 full-time equivalent jobs, with 45 percent of these opportunities expected to go to women and 55 percent to young people. In parallel, the Fund is expected to back companies that operate across borders, helping to deepen regional integration as portfolio businesses scale beyond their home markets.
Advancing inclusive growth and access to finance
Bank officials see support for small and mid-cap firms as a direct lever for inclusive economic progress. They argue that these companies often face structural financing gaps, even though they are major contributors to employment and local value creation. By improving access to equity capital and pairing it with technical and strategic support, the Adenia Entrepreneurial Fund 1 is expected to help build stronger, more competitive African champions.
Adenia’s experience in African private equity
Adenia Partners, which manages the Fund, brings more than two decades of experience investing on the continent. Founded in 2002, the firm has raised over $900 million from private investors, institutional backers, and development finance institutions, and has managed five funds to date. Over that period, it has invested in 34 companies and completed 20 exits, giving it a track record that the African Development Bank expects will be critical to executing the Fund’s impact and return objectives.
With its $15 million commitment to Adenia Entrepreneurial Fund 1, the African Development Bank Group is doubling down on private sector-led development as a pillar of Africa’s growth story. The Fund’s focus on essential sectors, majority ownership, and active value creation is designed to translate capital into tangible gains in jobs, tax revenues, and regional trade. As investments roll out across the continent, the partnership between the Bank and Adenia will be closely watched as a test of how targeted private equity can support resilient, inclusive African economies.