JOHANNESBURG – VANTAGE Capital, Africa’s largest mezzanine fund manager, has announced the provision of a debenture facility of N$80 million (US$5,5 million) to United Africa Group (UAG), an established hospitality and property-owning group in Namibia.
The funding will be used to support the group’s equity contribution for the construction of a new Hilton Garden Inn, a 181-key three-star hotel to be located in the heart of the Windhoek.
“We are delighted to partner with UAG for our first investment in Namibia and Vantage’s 21st mezzanine transaction overall,” said Warren van der Merwe, chief operating officer of Vantage Capital.
Van der Merwe said UAG has built up a quality portfolio of hospitality and commercial property assets under the strong leadership of Haddis and Martha Tilahun and they are pleased to provide them with financial backing as they further entrenched themselves as a leader in the local hospitality sector.
David Kornik, associate partner at Vantage Capital, said they were look for our funding to facilitate expansion and economic development.
“In this investment we are therefore proud to be supporting a local business group, in a project that will have a significantly positive impact on tourism growth as well as on the development of Windhoek’s city centre,” said Kornik.
Willem Mouton, chief executive officer of UAG said they were looking forward to a mutually rewarding partnership in the coming years.
“We are pleased to bring Vantage on board as an experienced African investor who shares our views on the exciting prospects for Namibia’s tourism and hospitality sector,” said Mouton.