Citadel secures capital boost for Africa Railways
Egyptian private equity firm Citadel Capital said on Sunday it had completed a $70 million capital increase for its Africa Railways investment vehicle.
September 12, 2011 12:48 by Reuters
Citadel, with $8.7 billion investments under its control, said the increase brought Africa Railways’ total paid-in capital to $110 million.
Africa Railways, Citadel’s platform for investing in the African rail transportation sector, will use proceeds from the capital increase to fund portfolio company Rift Valley Railways.
Rift Valley Railways has a 25-year concession to operate a century-old rail line linking the Indian Ocean port of Mombasa in Kenya to the interior of Kenya and Uganda, including Kampala.
Africa Railways is the largest shareholder in Rift Valley Railways and has management rights. Citadel Capital and its partners own a stake in Africa Railways exceeding 51 percent, also including management rights. (Reporting By Maha El Dahan; Editing by Dan Lalor)