Proparco commits USD 11 mn to Lorax Capital’s Egypt-focused LCP II fund

INVESTMENT WATCH- Proparco has committed USD 11 mn to Egypt- and SME-focused private equity fund LCP II, the French Development Agency’s investment arm said in a statement. The investment will help mid-cap companies in Egypt access long-term financing, which the statement says is “all the more important in a period of economic downturn” amid the covid-19 crisis. Proparco’s contribution is part of a c.USD 142 mn first closing for the fund, which is managed by Egyptian private equity outfit Lorax Capital Partners. The fund saw commitments from other LPs including the European Bank for Reconstruction and Development, the European Investment Bank, the International Finance Corporation, and the Egyptian American Enterprise Fund. Lorax is targeting a USD 250 mn final close for LCP II.