Eos exits Mushara investment
Private equity firm Eos Capital has completed the exit of its Allegrow Fund's investment in The Mushara Collection, marking what it describes as one of the largest private equity exits recorded in Namibia's unlisted market.
The transaction, which includes shareholder dividends, delivered investors a 40% internal rate of return and a 4.4-times return on investment, according to Eos Capital. The firm said the exit demonstrates the potential for private equity investment in Namibia's relatively illiquid unlisted market, where limited deal activity and subdued liquidity have historically constrained investor returns.
Eos Capital Managing Director Elzine Gawaxab-Mushambi described the deal as "the largest private equity exit in Namibia's unlisted market to date", returning "4.4x invested capital back to our investors alongside this milestone return".
"Beyond the numbers, this is a story about what disciplined investing, hands-on ownership, and genuine belief in Namibia's tourism sector can achieve, even in a market where liquidity has been hard to come by," she said.
Gawaxab-Mushambi thanked investors for their trust in Eos Capital and credited the team that worked to bring the transaction to completion.
"Operational, legal and compliance groundwork is in place to see the remaining approvals through efficiently," Eos Capital said, adding that the transaction remains subject to the remaining regulatory approvals.
About the Mushara Collection
The Mushara Collection comprises a portfolio of luxury lodges located near the eastern boundary of Etosha National Park, one of Namibia's leading tourism destinations. The collection includes Mushara Lodge, Mushara Bush Camp and Mushara Villas, offering accommodation ranging from family-friendly facilities to high-end luxury experiences.
Eos Capital said the Allegrow Fund's investment formed part of its broader strategy to support the recovery of Namibia's tourism sector while backing assets with strong long-term growth potential. The investment was made during a period when the tourism industry was recovering from the effects of the Covid-19 pandemic, with private sector investment viewed as critical to rebuilding capacity and attracting international visitors.
The Allegrow Fund is a N$461 million small and medium enterprise growth and operational development fund managed by Eos Capital. The fund invests in businesses judged to have strong expansion potential, providing them with capital and hands-on operational support to help unlock that potential.
The fund's name is a play on "allegro", the musical term denoting a brisk or rapid tempo, reflecting Allegrow's stated purpose of growing its investments rapidly while maintaining due regard for the risks involved.
Allegrow built a diversified portfolio of nine companies spanning manufacturing, healthcare, education, tourism and engineering. Having deployed its full N$461 million across that portfolio, the fund is now in its value realisation and divestment phase.
The Mushara Collection investment was classified as a hospitality sector buyout and formed part of Allegrow's broader strategy to realise value from its portfolio as it moves through this divestment phase.
