The EAEF Mandate
The Egyptian-American Enterprise Fund invests in private enterprises in Egypt that contribute to long-term, inclusive and sustainable economic growth. The enterprise fund deploys capital with the dual mandate to deliver financial returns and promote socio-economic development in Egypt.
OUR PRIMARY GOALS
EAEF seeks to attract foreign investors to Egypt, promote commercial best practices and improve corporate governance for its investees and fund managers. EAEF encourages entrepreneurial activities and environmental accountability and favors investments that have a demonstrated positive effect on other Egyptian businesses.
CRITERIA FOR THE EAEF’S INVESTMENTS
A need for growth capital or capital to restructure operations.
Investees’ primary country of operation must be Egypt.
Expectations for the profitability and/or development returns of the company and EAEF’s investment.
THE EAEF STRATEGY
By investing in promising, private Egyptian companies and providing them with capital, technical expertise, management skills, industry knowledge, and a network of value-creating investors, we hope to fuel a cycle of inclusive growth that will help spur the local economy and encourage domestic and international investment in Egypt.
EAEF targets opportunities in which it can bring additional resources for the benefit of the investee. These benefits include additional public or private investors, technical assistance, management skills, and industry knowledge.
EAEF seeks board representation in investee companies to add value.
EAEF seeks minority stakes in investee companies. Controlling stakes will be considered if necessary to achieve benefits that EAEF brings to the investee as a value-adding shareholder.
EAEF targets competitive market terms but it retains the flexibility to forgo financial returns for positive social impact to achieve its dual bottom line.
EAEF does not engage in competitive bidding and crowding out of other private investors prepared to finance an enterprise on reasonable terms, all other considerations being equal.
EAEF seeks geographic and sectoral diversification of its portfolio in Egypt based on assessments of development priorities and periodic monitoring and evaluation of the portfolio.
EAEF may appoint one or more investment management teams to identify and manage Fund investments.
EAEF is a long-term investment partner and will seek to partner with investors, managers, and shareholders with objectives aligned to the EAEF’s mandate.