Groups to invest $124m in property sector

IFC, a member of the World Bank Group, and IFC African, Latin American and Caribbean Fund, a private equity fund managed by IFC Asset Management Company, a wholly owned subsidiary of IFC, announced on Wednesday they would invest $124 million in the Persianas Group to support its growth strategy in the rapidly expanding and underserved retail and commercial property market in Nigeria.The investment package consists of up to $74 million in equity provided by IFC and IFC ALAC Fund, and $50 million in debt provided by IFC.Persianas, developers of the Palms Shopping Mall, West Africa's first international standard retail mall, will use the funds to further develop three or more retail and mixed-use centres in commercial cities in Nigeria, and establish a fully integrated design, property development, and asset management firm.Tayo Amusan, Chairman of the Persianas Group, said, 'IFC's investment in Persianas demonstrates a commitment to supporting Nigerian entrepreneurs and is critical to preparing Persianas for our next phase of growth. This investment will help real estate development to contribute to more jobs in businesses offering safe and healthy consumer products and services.'Oscar Chemerinski, IFC Regional Industry Director for Sub-Saharan Africa and Latin America and the Caribbean, said, 'IFC's partnership with Persianas supports a rapidly growing, more diversified economy and encourages private investors in the Nigerian retail and commercial property industry.
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