Black Business Growth Funds
Empowering black-managed private equity funds to drive inclusive growth and sustainable impact.
Black Business Growth Fund I is the first fund established in 2017 within the 27four Private Markets portfolio that is primarily focused on providing funding solutions (primary investments, secondary investments and co-investments) to black managed private equity funds in South Africa.
BBGF II commenced in 2024 and became an established partnership with Jobs Fund. The collaboration of Jobs Fund with 27four BBGF was to provide funding in the already existing 27four portfolio of mid-market private equity with the aim to invest in job creating projects.
Supporting Black Fund Managers
BBGF I was created to address the funding constraints facing mid-market black private equity managers. By providing capital and strategic support, the fund connects promising fund managers with investors, enabling inclusive participation in South Africa’s private equity ecosystem.
Insight Through Experience
BBGF I revealed key barriers facing black fund managers: capital raising, fund construction, deal flow, and operational capacity. The fund played a pivotal role in guiding managers on reporting, strategy, hiring, and execution—strengthening not only the firms, but also their underlying investments.
Navigating Illiquidity in Private Markets
Exiting private market deals remains a major challenge. BBGF I highlights the importance of deal structuring from the outset. Razorite, a BBGF I investment, is currently navigating multiple exit paths as it nears the end of its fund term—underscoring the critical role of planning in unlocking value.
Our Partners in Transformation
The Black Business Growth Funds collaborate with a dynamic group of fund managers and co-investment partners who share our mission to drive inclusive growth. Together, we expand opportunities, build capacity, and unlock sustainable value for South African communities.
Infinite Partners
Infinite Partners is a newly established African private equity fund manager with significant track record and joint experience following their buyout from Ethos. BBGF I invested in the Ethos Mid-Market Fund I that has invested in over 8 portfolio companies as well as a co-investment through our co-investment mandate.
PAPE Fund Managers
PAPE Fund managers is a boutique majority black equity manager that focuses on investing long-term equity risk capital in mature and scalable South African mid-cap unlisted enterprises companies within generalist sectors. PAPE Fund III is a buyout fund that has invested in 6 portfolio companies since it commenced in 2018.
RH Managers
A healthcare investment vehicle aimed at positively impacting and improving the access to healthcare within South Africa. Razorite Healthcare and Rehabilitation Fund I is a fund managed by RH Managers since 2014 and has successfully invested in the construction of over 24 medical facilities. With a 10 year lifespan ending in August 2024, the fund is actively pursuing the exits of these deals.
Sanari Capital
Sanari Capital is a majority black-owned and women led fund manager. Sanari has a strong empowerment agenda and through their empowerment ensures the creation of shared value amongst stakeholders, as well as access to extensive investment opportunities as a result of the demand for black ownership solutions in the lower to mid-market companies.
Kleoss Capital
Kleoss Capital is a South African mid-capital private equity investment manager that targets medium-sized businesses across the South African economic landscape. Kleoss’ investment focus is on well-run businesses in pivotal sectors of the South African economy, that also generate sustainable healthy profits and deliver sustainable growth. Kleoss Capital is also a 100% black owned and managed investment manager with a level 1 Broad Based Black Economic Empowerment (“B-BBEE”) accreditation.
Vuna Partners
Vuna Partners is a South African private equity investor focused on medium sized businesses across a range of sectors. We leverage our diverse collective experience, matched with our bespoke partnership strategies, to forge companies with enduring value. We are driven to create superior long-term value to the benefit of our investors, the management and employees of our investee companies, our strategic partners and society at large. Our partnership strategies seek to deliver superior long-term value founded on the recognition of a wider stakeholder body.
Kholo Capital
Kholo Capital is a mezzanine debt fund management business. Founded by former partners and shareholders of Vantage Capital, Mokgome Mogoba and Zaheer Cassim. The management team has more than 45 years of collective credit and investment experience and is highly skilled in senior debt, mezzanine debt and private equity. The team has a strong track record in the credit and investment space and has invested in excess of R40 billions of capital deployed in over 80 transactions in more than 10 African countries.
Secha Capital
Secha Capital is a Black, female-founded fund manager deploying its unique Operator-Investor model to invest in traditional companies across sectors in Southern Africa making the tech-enabled, green economy transition.
Co-Investments
e4
e4 operates an Information Management platform that integrates the banks , law firms and other role players. e4 is co-investment with BBGF II on behalf of Transnet Retirement Fund. The investment was made through two structures, namely e4 Investment Holdings which is the South Africa business and Continuum Holdings which are part of the Mauritius entity.
Balancell
Balancell believes that battery energy storage will play a key role in transitioning the world to renewable energy sources, helping to reduce climate change, bringing electricity to the last billion people and changing the way we move and live. Balancell’s mission is to help make this happen through giving batteries brains. We are changing the way that stored energy is supplied through batteries that manage themselves, protect themselves and report their use and condition remotely. Balancell is co-investment with BBGF II on behalf of Transnet Retirement Fund