In a rare and resounding signal of liquidity for West African private equity, PCM Capital Partners (“PCP”) has completed its full exit from First Atlantic Bank PLC (FAB).
The move, executed via an initial public offering (IPO) on the Ghana Stock Exchange, comes at a time when frontier market investors are hungry for proof that the “private-to-public” pipeline remains viable in the region.
The offering was met with robust demand, finishing oversubscribed despite a global environment where emerging market listings have faced significant scrutiny.
The transaction was anchored by a cohort of Ghanaian pension fund schemes, institutional investors, and high-net-worth individuals.
A Milestone for the West Africa Fund
The exit marks the fourth successful liquidation for PCP’s maiden fund, the West Africa Emerging Markets Growth Fund (WAEMGF).
Domiciled in Mauritius, the fund has been a quiet but steady player in the region, with a portfolio spanning agribusiness, pharmaceuticals, and downstream oil and gas.
“Our investment thesis centered on transforming FAB into a resilient, well-capitalized commercial bank,” said Mawuli Ababio, PCP’s Managing Partner.
“The successful listing demonstrates our interest in mobilizing local capital into businesses driving key sectors of the Ghanaian economy.”
The transaction was structured through AA Global Investments Limited (AAGIL), a special purpose vehicle controlled by the fund.
According to the company, the exit represents one of the most significant listings on the Accra-based bourse in the last seven years.
Inside the Transformation
When PCP first took its stake in First Atlantic Bank, the institution was a smaller player in a crowded field. Since then, the bank has undergone a rigorous institutional overhaul. Key changes included:
- Capital Reinforcement: A strengthened capital base to meet tightening regulatory requirements.
- Digital Pivot: Investment in digital banking channels to compete with fintech disruptors.
- Sector Expansion: A deliberate push into the underserved retail and SME segments, which now form a core part of its loan book.
Odun Odunfa, CEO of First Atlantic Bank, noted that the decade-long partnership with PCP was instrumental in navigating “difficult and challenging times” in the Ghanaian macro environment.
“They have been an invaluable partner given their thorough understanding of the local economy,” Odunfa said.
Positive Sign for Ghana’s Investment Industry
Amma Gyampo, CEO of the Ghana Venture Capital and Private Equity Association (GVCA), praised the news as a positive sign for Ghana’s Stock Exchange and private equity industry.
“As an industry association, we are encouraged and excited by this deal,” she said.
“An exit of this nature via an IPO on the Ghana Stock Exchange signals the domain expertise, grit and discipline of our private equity firm fund managers. This news gives a boost of confidence in Ghana’s capital markets, as well as the venture capital and private equity industry.”
This article was edited with AI and reviewed by human editors
