The African Development Bank Group has approved a $15 million equity investment in the Adenia Entrepreneurial Fund 1 (AEF 1), a new vehicle designed to channel growth capital into small- and mid-cap companies across the continent. The decision was taken by the Bank’s Board of Directors on 19 November 2025.

The fund will focus on businesses operating in sectors seen as essential to strengthening Africa’s economic resilience, including light industry, consumer goods and services, renewable energy, health, and education. By taking majority ownership stakes, AEF 1 aims to play an active role in improving operational efficiency, management practices, and long-term strategic planning in portfolio companies.

Adenia Partners, the fund manager, will provide hands-on support to investee companies, including value-creation strategies, technical assistance, and access to sector specialists. According to the African Development Bank, the fund is expected to generate $55.5 million in tax revenue for African governments over its lifetime. It is also projected to create approximately 1,810 full-time-equivalent jobs, with 45% of these opportunities for women and 55% for young people.

The Bank views the new fund as an important vehicle for supporting African firms seeking to scale operations across borders, thereby accelerating trade and integration within the continent’s emerging single market.

Adenia Partners, founded in 2002, is one of Africa’s most established private equity platforms with more than $900 million raised from institutional and private investors. The firm has managed five funds, completed 34 investments and 20 exits, and positions itself as a champion of responsible investment focused on sustainable growth across Africa.

The additional capital from the African Development Bank is expected to strengthen AEF 1’s capacity to identify high-potential companies and help build a more competitive private sector across the region.