LONDON (Alliance News) - Atlas Mara Co-Nvest Ltd, the Africa focused investment vehicle co-founded by former Barclays PLC boss Bob Diamond, Friday said it made a USD17.3 million loss between November 28, 2013 and June 30, 2014, as it reported maiden interim results following its initial public offering.
Atlas Mara is investing in financial institutions in Africa as European lenders retreat from the continent due to the pressures of meeting new international regulations on capital and liquidity requirements.
In a statement, Atlas Mara said it made USD2,000 in income after USD5,000 of interest income was partly offset by a foreign exchange loss of USD3,000. Operating expenses were USD5.8 million and transactions expenses amounted to USD11.5 million. The loss was primarily due to expenses from the IPO and its acquisitions.
In May, it agreed to acquire the government of Rwanda's 77% stake in the commercial arm of the Development Bank of Rwanda, which followed deals to acquire a majority of ABC Holdings Ltd and all of ADC African Development Corporation AG. In the same month, it began a conditional private placement of new shares with the intention of raising USD400.0 million.
However, it Friday said that it had received subscriptions for approximately USD300.0 million from holders of existing ordinary shares and certain other qualified investors at the start of July. In the same month, Atlas Mara said it had entered into a commitment agreement that provides for debt facilities of up to USD200 million to support future growth.
During the period, Diamond also poached John Vitalo, Barclays' chief executive for Middle East and North Africa since May 2009, to be Atlas Mara's new chief executive.
The company raised USD325.0 million gross in its December IPO.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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