Mediterrania Capital Partners, a Malta-based private equity firm, has announced the final close of its fourth fund, Mediterrania Capital IV Mid Cap (MC IV), raising €600 million (approximately $682 million). This marks the firm’s largest fund to date and signals increasing institutional confidence in Africa’s mid-market investment landscape.
Structured as a 10-year closed-end vehicle, MC IV targets equity investments in small to mid-cap companies across North and West Africa, with selective exposure to broader Sub-Saharan markets. The fund’s strategy is to acquire both majority and significant minority stakes in businesses with strong fundamentals and high potential for regional growth or public listing.
The fund secured backing from a mix of institutional investors, with a significant share coming from development finance institutions (DFIs). Germany’s DEG (Deutsche Investitions- und Entwicklungsgesellschaft) was among the prominent contributors, increasing its stake in MC IV to €25 million following an additional €15 million commitment announced this week. DEG’s initial investment in May 2023 helped finance the fund’s early activity, including the acquisition of a minority stake in Moroccan pharmaceutical firm Laprophan.
MC IV’s final close highlights a growing appetite among global investors to tap into Africa’s underserved but increasingly dynamic private sector. The fund is expected to make between eight and ten investments, with typical ticket sizes ranging from €20 million to €50 million. Its target sectors — healthcare, education, logistics, fast-moving consumer goods (FMCG), and financial services — are viewed as critical to Africa’s development trajectory.
The fund is already active, with two deals completed in Morocco. In addition to Laprophan, Mediterrania Capital acquired a stake in Cash Plus, a leading Moroccan fintech firm, in October 2023. These investments reflect the fund’s broader strategy of supporting companies that are either market leaders or have the potential to expand regionally.
“The successful final close of MC IV underlines our Limited Partners’ ongoing commitment to the African continent,” said Albert Alsina, CEO of Mediterrania Capital Partners. “We see abundant opportunities to support companies that are transforming their industries across Africa.”
Founded in 2013, Mediterrania Capital Partners is chaired by Saâd Bendidi and led by Managing Partner Hatim Ben Ahmed. The firm has built a reputation for hands-on investment, often working closely with company leadership to improve governance, sustainability, and operational efficiency. Mediterrania’s portfolio companies collectively generate over €2.2 billion in annual revenue and employ more than 30,000 people across the continent.
The firm emphasizes long-term impact and sustainability in its investment philosophy. As a signatory to the United Nations Principles for Responsible Investment (UNPRI), Mediterrania integrates environmental, social, and governance (ESG) considerations into every stage of the investment lifecycle.
“Impact is not an initiative — it’s a mindset,” said Rajaa Berrkia, Partner and Director of Sustainability at Mediterrania. “Our role as investors is to deliver sustainable value, including reducing inequality and supporting inclusive job creation.”
DEG’s investment in MC IV is part of a wider trend among DFIs to play a dual role as financial backers and strategic partners. Through its subsidiary DEG Impulse, the German institution provides advisory services to enhance the ESG performance and resilience of portfolio companies.
Other DFIs have also shown strong support for MC IV. Laprophan’s €75 million financing round, for instance, also attracted capital from FMO (Netherlands) and Proparco (France). These multilayered partnerships aim not only to provide capital but also to build institutional capacity and promote inclusive economic growth across the continent.
Approximately 75% of MC IV’s capital will be deployed in North Africa, with the remainder allocated to Sub-Saharan markets. The firm is licensed by multiple regulatory authorities, including Malta’s Financial Services Authority, Spain’s CNMV, and market regulators in Mauritius and Morocco. This multi-jurisdictional compliance framework provides reassurance to investors navigating Africa’s diverse regulatory environments.
As MC IV enters its deployment phase, Mediterrania Capital’s progress will serve as a key signal of investor confidence and deal flow in Africa’s mid-market private equity sector. For stakeholders seeking scalable, impactful opportunities on the continent, the fund’s trajectory will be closely watched.