The Casablanca-based Moroccan Infrastructure Fund (MIF) has exited its entire holding in Osead Maroc Mining (OMM) at a multiple of 8.4 times its initial investment and an internal rate of return of 94 percent. The exit was facilitated by OMM parent company OSEAD increasing its stake in OMM.
OMM is the controlling shareholder of Compagnie Miniere de Touissit (CMT), the oldest lead producer and exporter in Morocco, specialising in the exploration, extraction and processing of lead-silver ore and zinc-silver ore.
MIF participated in the €38.3 million acquisition of CMT in November 2007 and then helped the firm expand across Africa. In June 2008, CMT listed on the Casablanca Stock Exchange and sold 33 percent of its capital in an IPO that was 14 times oversubscribed.
Having posted annual average revenue growth of 27 percent since listing, CMT now has a market capitalisation of more than €200 million. “The company delivered sustained and robust results, enabling it to craft an ambitious regional development program,” said Samir Belrhandoria, managing director at MIF, in a statement.
MIF is a Morocco-focused fund, which manages MAD805 million (€72 million; $95 million) on behalf of Moroccan and foreign institutional investors. Its target sectors include energy, telecoms, transport, natural resources, water, hygiene & environmental services, and infrastructure-related equipment.
MIF is co-managed by Attijari Invest, the private equity arm of Morocco’s Attijariwafa Bank, and Emerging Capital Partners, the pan-African private equity firm which has raised more than $2 billion for investment across Africa.