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COMMENTARYCOMMENTARYH.E. UHURU KENYATTAPRESIDENT OF KENYATHE RT HON THERESA MAY MPPRIME MINISTER OF THE UNITED KINGDOMTHE STORY OF AFRICA’S GROWINGAMBITIONS AND PROSPECTSWORKING TOGETHERFOR A BRIGHTER FUTUREam confident that by sharing their impressive success storieswith the world we will help to promote Africa’s private sectorto an international audience and catalyse crucial investment.In my speech in Cape Town, I set out a new UK partnershipwith African nations, centred on high-quality investment forjob creation and inclusive growth, alongside an ambition forthe UK to be the G7’s biggest investor in Africa by 2022. Tohelp achieve this, the UK’s Development Finance Institution,the CDC, will significantly increase its investment into Africa,aiming to invest up to 3.5bn into the private sector on thecontinent over the next four years.Furthermore, through our UK aid programme, anddelivered by the Private Infrastructure Development Group,an investment of up to 300m into essential infrastructurewill lay the foundations for new trading and businessopportunities across the continent. In turn, these measuresaim to mobilise a further 4bn in private investment. At the“ENTREPRENEURSHIP IS AT THEHEART OF KENYA’S VIBRANTECONOMY, PROPELLING INVESTMENT,JOB CREATION AND GROWTH”Last year I visited London Stock Exchange to open themarket. I would like to follow that up with a word or twoabout London Stock Exchange Group, and the opportunities forpartnership with Kenyan business that have opened up.When my administration took office in 2013, it was clear thatto tackle unemployment, we needed to create rewarding jobs foryouth, women and people with disabilities, to create a new waveof organised business that would secure Kenya’s prosperity.There has been substantial progress. Today, high-growthcompanies and small and medium-sized enterprises (SMEs)employ more than 75% of Kenya’s working population, andcontribute the lion’s share of our GDP. We cannot underestimatethe importance of this sector to our social and economicwellbeing. We therefore must renew our commitment to SMEs andentrust to them the nurturing of Kenya’s talent and enterprise.It gives me great pleasure to support London Stock ExchangeGroup’s Companies to Inspire Africa initiative, now in its seconditeration, that tells Africa’s remarkable story of entrepreneurialleadership to a global audience.Entrepreneurship is at the heart of Kenya’s vibrant economy,propelling investment, job creation and growth. Companies toInspire Africa showcases Kenya’s mercantile spirit, vision andcapacity to produce world-class innovation.4Over 60 Kenyan companies – in sectors ranging fromagriculture to FinTech – are featured in this report. Together, theyshowcase the reach, the ambition and prospects of Kenya. Butthere’s more to be done, both at home and abroad.To help SMEs compete in the manufacturing sector, we haveraised our SME Development Fund by 500m, and addeda number of supporting guarantee schemes. We have alsocombined six major government funds to create the BiasharaBank, which will provide SMEs with low interest loans to increasetheir existing production capacity. And, finally, to supportKenya’s increasing global competitiveness, we have set atarget for 2022 to support 10,000 Kenyan SMEs to meet globalexport standards. We believe that Kenya’s growth companieswill transform it into a newly industrialising, middle-incomecountry, in line with our Vision 2030 plan.Equally, the Nairobi Securities Exchange is working withkey partners like London Stock Exchange Group to createinternational links to drive investment into Kenyan companies.This will support job creation and a vibrant economy in Kenyathat is a powerhouse for East Africa and the African continent.I congratulate all the Kenyan companies featured in this reportfor their outstanding performance, innovation and ambition,and I look forward to new partnerships with Kenya’s friends.On my recent visit to Africa in August 2018, I metleaders, entrepreneurs and young professionals whoare building exciting futures for their communities, theircountries and their continent. Their message to me wassimple: they want to unlock private sector investment tocreate jobs, improve incomes and the quality of their lives,and power the next stage of Africa’s growth.Africa is home to five of the world’s fastest-growingeconomies, and is being driven by young and growingpopulations. This year, Companies to Inspire Africa onceagain showcases and celebrates the businesses andentrepreneurs at the heart of this movement. I would like tocongratulate all the companies featured in this report, and I“COMPANIES TO INSPIRE AFRICAONCE AGAIN SHOWCASES ANDCELEBRATES THE BUSINESSESAND ENTREPRENEURS AT THEHEART OF THIS MOVEMENT. IWOULD LIKE TO CONGRATULATEALL THE COMPANIES FEATURED”“IT IS ONLY BY WORKING TOGETHERTHAT WE WILL SEIZE THEOPPORTUNITIES IN FRONT OF US.I AM SO PLEASED TO SEE LONDONSTOCK EXCHANGE GROUP SHINEA LIGHT ON AFRICA’S SUCCESS”moment, only around 1% of the 8trn in assets managedby the City of London are invested in Africa. I believe thatit is in all of our interests to work together to increase thatpercentage and achieve our collective ambitions. This is whywe will host the first Africa Investment Summit in 2019,bringing African governments together with private andinstitutional businesses, investors and entrepreneurs to driveforward the opportunities for trade and investment on theworld stage.Through the building of mutually beneficial partnerships,we are helping to stimulate long-term transformationalgrowth that will support hundreds of thousands of jobs, buildstability, strengthen the rule of law and trigger growth insome of the poorest and most fragile countries.It is only by working together that we will seize theopportunities in front of us. That is why I am so pleased tosee London Stock Exchange Group shine a light on Africa’ssuccess stories, showcase the quality and breadth of Africa’slong-term sustainable investment opportunities, and buildinvestment links for our shared future prosperity.5

LSEG FOREWORD 110bnINSIDE THEREPORTThe amount raised on AIMover two decadesI“We publish this report asit is our belief that thesefirms, and high-growthfirms like them, arecrucial to the future ofthe African economy”David Schwimmer, CEO,London Stock Exchange Groupt gives me great pleasure to welcome you to the secondedition of London Stock Exchange Group’s report,Companies to Inspire Africa. This pioneering report identifiesAfrica’s most inspirational and dynamic private, high-growthcompanies to a global market.We publish this report as it is our belief that these firms, andhigh-growth firms like them, are crucial to the future of theAfrican economy, capable of driving transformative economicgrowth in their home countries, Africa and beyond.There are 360 companies from 32 different countries acrossthe continent represented in this report, boasting an incrediblyimpressive average compound annual growth rate of 46%, upfrom 16% last year. On average, each firm employs over 350people, with an average compound annual employee growthrate of 25%.A diverse range of industry sectors feature, paintingan encouraging picture of the future of the African economy.Consumer Services, Industry and Agriculture are thethree biggest sectors, between them making up over 50%of the companies featured. Technology & Telecoms, andFinancial Services together represent over 25% of firms,while Healthcare & Education and Renewable Energy alsofeature strongly.It is also very encouraging that 23% of the senior executivesof the companies featured are female, a near doubling from12% in last year’s report.The growth rates and sector diversity of the firms featuredhighlight their potential to transform the African and widereconomy and become the big global job creators of tomorrow.At LSEG, we are determined to help realise that potential.From the building of the great US railways in the 19thcentury, to global oil and gas exploration in the 20th century,to creating a worldwide low-carbon economy today, wehave always been at the forefront of financing the greatglobal economic shifts of the day. Sitting at the heart of360The number of businesses in theCompanies to Inspire Africa report6global financial markets, LSEG has a connection with Africastretching back to the 1930s.While capital markets have long been associated withlarger companies, 23 years ago we did something different,launching a capital market specifically for high-growthpotential companies, AIM. It is now the most successful globalgrowth company market in the world and has raised over 110bn for nearly 4,000 companies in little over two decades.In 2012, we launched our pan-European businessdevelopment and capital raising programme forhigh-growth firms – ELITE. By 2015, it had expanded intoAfrica. Today, we are proud to research and publish reports likethis – designed to identify high-growth-potential firms to aglobal investor base.Patient capital allows firms to focus on innovation andgrowth, rather than having to service a debt repaymentschedule or adhere to strict covenants typical of traditionallending, which can, for example, limit the scope to reactquickly to investment opportunities.The firms listed in last year’s Companies to InspireAfrica report have already realised significant progress andachievements in the last 12 months in a variety of ways,including pursuing IPOs and issuing bonds to grow, whilesome have also undertaken cross-border expansion, bothwithin the African continent and globally.This echoes our own experience in African capital markets.Over 100 companies and nearly 40 African bonds are nowlisted on London markets, gaining access to a global investorbase. In 2018, we saw issuances from Nigeria, Kenya, Egypt,Angola and Ghana as well as corporates such as Seplat, AbsaBank and FirstRand Bank. The year also saw the launch of VivoEnergy, both the largest African IPO in London for a decadeand the first company from the Companies to Inspire Africareport to float on London Stock Exchange.LSEG also has a number of valued technology partnershipswith stock exchanges in African countries. As well asgiving dynamic African firms access to a global investorbase, it is fundamental to develop African financial marketinfrastructure itself.We look forward to continuing to work with Africangovernments, companies and financial market participantsto develop domestic capital markets further, offering anadditional funding channel and supporting entrepreneurship,infrastructure, green investment and economic growth.At the end of 2018, our LSEG African Advisory Grouppublished a series of recommendations on financial marketinfrastructure in Africa, with a particular focus on SME finance,“The UK has a proud and establishedrecord of supporting developmentgoals in Africa and around the world”which should further develop and support this ecosystem.The UK has a proud and established record of supportingdevelopment goals in Africa and around the world. I washonoured to accompany the Prime Minister on her trip toAfrica in August 2018, to see first-hand the vibrant potentialof African SMEs.We agree with the UK Government that a greater focus ofsupporting development goals should be enabling greaterglobal investment into the African growth story. At LSEG, westand ready to play our part.Our sponsorsI would like to thank our research partner Asoko Insight,whose expertise has underpinned this report, as well as ourpartners African Development Bank Group, CDC Group andPwC, who have supported both the last edition of this reportand this one. I must also thank this year’s sponsors Instinctifand Stephenson Harwood, whose valuable support helpedmake this report possible.Contributions from The Rt Hon the Lord Boateng PC DL,Christian Chammas, CEO of Vivo Energy, Judith Karl, theExecutive Secretary of United Nations Capital DevelopmentFund, Melanie Hawken, the Founder and CEO of Lionesses ofAfrica Public Benefit Corporation, and Emma Wade-Smith OBEoffer real insight and are a testament to their expertisein supporting African SMEs.I would also like to extend my personal thanks to theUK Prime Minister, the Rt Hon Theresa May MP, and thePresident of Kenya, H.E. Uhuru Kenyatta, whose missionto develop African SMEs is so vital, for their support andcontributions to the report.We hope you enjoy reading the report and are inspired.David SchwimmerCEO, London Stock Exchange Group plc7

COMMENTARYEMMA WADE-SMITH OBEUK TRADE COMMISSIONER FOR AFRICALondon Stock Exchangeis the #1 Exchange for Africanissuers outside AfricaWORKING TOGETHERFOR A BETTER FUTUREvibrant consumer base, one of the largest andbest-connected economies, and a world-class capitalmarket, the UK offers a wonderful platform fromwhich to grow an international business.The UK government is working with governmentsacross Africa to ensure continuity in tradingarrangements as the UK leaves the EU, so thatbusinesses and entrepreneurs have the certaintythey need to thrive and invest. We are movingmore resources into Africa to help build businessenvironments that will enable more trade andinvestment flows within Africa, and to the rest ofthe world, too.Africa’s new and rapidly growing businesses – someof which are showcased in this report – representthe strong heartbeat of this continent’s economies,Access to the deepest pool of international capital in the world110 197bnAfrican companies currentlylisted on LSETotal market cap of Africancompanies listed on LSE 1.3bn 167mRaised by African companies onMain Market in 2018 YTDRaised by African companies onAIM in 2018 YTD 39.6bn2018Raised in African bonds in 2018 YTDIn 2018, 15 African issuers from9 countries launched 55 bondson the London marketData: November 2018I’ve been living and working in Africa for just a fewyears, so I’m relatively new. But already I’m hookedby the business innovation and determination I seeacross the continent.As Her Majesty’s Trade Commissioner for Africa, myfocus is on increasing trade and investment flows – inboth directions – between Africa and the UK. Our traderelationship increased by nearly 12% in 2017, and theUK is the second largest foreign investor in Africa. Thisis good, but there is so much more we can do together,including to deliver the Prime Minister’s ambition forthe UK to be the largest G7 investor in Africa by 2022.With a rapidly urbanising population, some of themost dynamic economies in the world and the fastestgrowing middle class on the planet, Africa offers manyexciting opportunities for doing business. And with a“OUR TRADE RELATIONSHIPINCREASED BY NEARLY 12% LASTYEAR, AND THE UK IS THE SECONDLARGEST FOREIGN INVESTOR INAFRICA. THIS IS GOOD, BUT THEREIS SO MUCH MORE WE CAN DO”bringing innovative products to more markets,transforming services, and creating the millionsof jobs we need for current and future generations.These impressive companies represent just the tip ofa very large iceberg of talented and inspiringpeople who are building Africa’s internationalbusinesses of tomorrow. The Companies to InspireAfrica initiative provides a great platform to highlightthe innovation taking place across the continent,and hopefully bring even more investment andpartnerships to help these businesses continueto expand.“WITH A RAPIDLY URBANISING POPULATION, SOMEOF THE MOST DYNAMIC ECONOMIES IN THE WORLDAND THE FASTEST GROWING MIDDLE CLASS ONTHE PLANET, AFRICA OFFERS MANY EXCITINGOPPORTUNITIES FOR DOING BUSINESS”9

COMMENTARYTHE RT HON THE LORD BOATENG PC DLCHAIRMAN, AFRICAN ENTERPRISE CHALLENGE FUNDCapital for growthTHE INCREASING STRENGTHOF BUSINESSES IN AFRICAELITE companies have the opportunity to accessLondon Stock Exchange Group’s private placement platformdesigned to streamline the capital raising process.ELITE Club Deal connects companies with professionalinvestors, offering companies a variety of funding optionsin an integrated environment.ELITE Club Deal is the natural next step in the evolutionof ELITE’s suite of services offered to ELITE companies fromfinancial education to capital raising.Bridging the gap towardsthe Capital MarketsContact us:www.elite-network.comIssued by Elite Club Deal Ltd, 10 Paternoster Square, London EC4M 7LS.Authorised and regulated by the Financial Conduct Authority (FRN 761002).Incorporated in England No. 10274181, registered office as above.10Africa is a continent of challenge and opportunity. Bothare represented by its demographic reality. A fastgrowing middle class with increasing spending power, plusa young and aspirant population, provide an unparalleledmarket opportunity. This fuels the growth of many of thecompanies that have inspired this welcome publication.By 2040, Africa will be home to the world’s largestpotential workforce; however, it is currently only creatingthree million jobs for the 10–12 million young people whojoin the workforce every year. And too few of these are inthe agricultural sector and in rural Africa, which suffer fromboth an ageing workforce and uncontrolled rural flight.This gap in employment opportunity has to be filled ifunemployment is not to drive instability, forced migrationand an undermining of the real gains in the governance ofAfrica in recent years.These gains in governance have, after all, created a moreenabling environment for investment on the continent.This should pave the way for global companies to enter theAfrican market, and for Africa’s indigenous companies togrow to scale and become global players. They will haveneeds that the City of London is well placed to meet.The African Enterprise Challenge Fund (AECF), which Ichair, is a pan-African multi-donor challenge fund basedin Nairobi. Our focus is on the agribusiness and renewableenergy sectors. We have worked with some of Africa’smost progressive and innovative entrepreneurs to createsustainable livelihoods in rural communities in 26 Africancountries. We have taken the African producer up the valuechain by providing patient capital in the form of soft loansand grants to companies. This creates much-needed Africanjobs and, in so doing, as Theresa May pointed out during hertrip in August 2018 to Sub-Saharan Africa, provides welcomeopportunities for British business, too.The high-growth companies funded by AECF, someof which once again have found themselves in thispublication, take many forms, but all represent Africanexcellence in an inspirational way. They vary. Someare new enterprises in emergent technical sectors likeZanful, bringing solar power to rural Zimbabwe. Othersare more established businesses in the agriculturalsector, such as Meru Greens, that as a result of AECF’sinvestment is able to expand into new markets. Thisbrings employment opportunities where they werelimited or non-existent before among marginalisedcommunities or regions.Our current business strategy brings a renewedemphasis on youth and a gender focused approach thatseeks to utilise a too often neglected source of talentamong women entrepreneurs and farmers. We work forimpact that is transformative of livelihoods and catalyticwithin markets so that they work better for the poor.In the past 10 years, the AECF has leveraged anadditional 658m (five times leverage for each dollarinvested) from the private sector into its investeecompanies and impacted on the lives of more than16 million people across Africa.Britain, Europe and Africa have a shared history andlong established ties. We would, however, be unwiseto be lulled by this into a false sense of complacency.This is a fast-changing world with new forces at workthat are seeing new alliances formed and old onesbeing reconstituted. The truth remains, however, thatrelationships matter. They will endure when they arebased on mutual understanding and advantage.The development of rural Africa and the rise up thevalue chain of its producers offers an unparalleledopportunity for growth and prosperity for all.The companies represented on these pages are theclearest illustration of that fact. The mobilisation ofcapital to support their growth and contribution toglobal trade represents our best hope for a mutuallybeneficial future.11

SPONSOR FOREWORDADiscover theworld’s leadinggrowth market.Supported over 3,700 companies to raise more than 110bn since launch.Are you looking for long term growth capital to fundyour company ambitions?Download our latest publication, A Guide for Entrepreneurs,to gain insights from leading founders of AIM “Rather than by regulatoryenforcement, companyparticipation in innovativeinformation sharing systems willset the pace for the developmentof corporate governance”ccess to Africa’s growth markets is increasingly a strategic priority forinvestors, multinationals and governments across the world. Despitemacroeconomic headwinds in recent years, interest in the continent’stechnology, agriculture, infrastructure and consumer-related industriescontinues to attract capital and foster innovation.However, Africa’s private sector – particularly the wider middle market ofgrowth companies – remains under-capitalised and progress is slower thanmost would have anticipated.Investors claim there is a large and growing supply of capital looking fortoo few deals. This mismatch is exacerbated by the disproportionate costsof collecting and verifying company-level information when venturing intonew territory, a challenge that can cause transactions to fail if they are notmissed altogether.Meanwhile, African companies seeking funds are unsure how or where toengage with investors. The ecosystem is dominated by relationships, limitingdeal opportunities to the most established players with large ticket sizes.Investors are calling for more information and transparency, yet in theabsence of objective and secured circulation, private company owners are notseeing enough value to make this happen.At Asoko, we address the issue by providing local companies with accessto a secured platform designed to collect, verify and showcase their data.Company executives find value through visibility and market intelligence,while investors, banks and global corporates gain access to a widening,curated landscape of deals.As investor demand continues to grow, the information ecosystem isdeveloping at an increasing rate, driven by technology and data science.In this environment, local companies are finding more and more value incorporate transparency.The Companies to Inspire Africa report is an essential contribution tothat value. As a partner in the initiative, we have personally witnessedthe enthusiasm among thousands of local corporates to set aside theirreservations and share detailed information on their promising businesses.Rather than by regulatory enforcement, company participation in innovativeinformation sharing systems will set the pace for the development of corporategovernance, transparency and, ultimately, more private sector capitalisation.Following a year of hard work, we’re very proud to see the outcome of thesecond edition of Companies to Inspire Africa. On behalf of Asoko, I wouldlike to thank the team at LSEG for their commitment to this project.A particular word of appreciation to the companies covered in this report.Through your participation you have single-handedly set the benchmark fortransparency and performance for your own businesses as well as inspiredmany around you.Rob WithagenCEO and Co-founder, Asoko Insig

Company information powered by PwC, February 2019 . see London Stock Exchange Group shine a light on Africa's success stories, showcase the quality and breadth of Africa's . entrust to them the nurturing of Kenya's talent and enterprise. It gives me great pleasure to support London Stock Exchange