Bayport Management Ltd: Bayport enters into acquistion agreement and raises USD 137 million in equity funding

 Bayport Management Ltd: Bayport enters into acquistion agreement and raises
                      USD 137 million in equity funding

Bayport Management Limited ("Bayport"  or the "Company")  has entered into  an 
agreement (the  "Agreement") with  Transaction Capital  Limited  ("Transaction 
Capital") to acquire 100percent of the shares in Bayport Financial  Services 
2010 Proprietary Limited ("BFS") and Zenthyme Investments Proprietary  Limited 
("Zenthyme") from Transaction Capital (the "Transaction").

The cash consideration payable  by Bayport to  Transaction Capital will  total 
circa ZAR1,610 000  000 (corresponding to  circa USD 162million).  Following 
the implementation of the Transaction, the combined group of Bayport, BFS  and 
Zenthyme will have balance sheet assets exceeding USD 1.3billion.

The Transaction will mainly be financed  through a USD 137million new  equity 
issue in  Bayport,  of which  funds  advised by  Helios  Investments  Partners 
("Helios"), a premier pan-African private equity investment firm, will  invest 
USD 100 million. The  remaining portion of the  cash consideration to be  paid 
under the Agreement will be debt financed.

Following the completion of the  Transaction, Helios and the renowned  Swedish 
emerging market investor, and current  shareholder of the Company,  Investment 
AB Kinnevik  will together  own more  than 50percent  of the  shares in  the 

The Transaction  is  subject to  closing  conditions, including  that  Bayport 
concludes  agreements  to  raise   funds  to  enable   it  to  discharge   the 
consideration to be paid under the Agreement as well as necessary  shareholder 
and regulatory approvals.

Gernandt & Danielsson has acted as Swedish legal advisor to Bayport.

BFS and Zenthyme

The business  conducted  through  BFS  (and  its  subsidiaries)  and  Zenthyme 
includes the  provision of  unsecured credit  and related  products,  cellular 
handset  and  airtime  subscription   agreements  and  related  products,   to 
historically under-served low  to middle income  individuals in South  Africa. 
The business provides clients with  personalised and direct access to  credit, 
by  originating  retail   loans  through  a   wide  distribution  network   of 
approximately 2,211 mobile, commission  earning independent agents;  operating 
out of 56 branches and 33 kiosks at selected South African Post Office outlets
nationwide and backed by three call centres.


Helios is an  Africa-focused private  equity investment  firm, managing  funds 
totalling over USD 1.8 billion. It  invests in growth equity investments  and 
new business  formations in  high-potential  sectors, acquisitions  of  large, 
established  businesses  and  structured   investments  in  listed   entities, 
investing between USD 30 million and USD 200 million per transaction.  Helios' 
portfolio companies  operate in  more  than 30  countries  in all  regions  of 
Africa. Founded  in 2004  and  led by  co-founding  partners Tope  Lawani  and 
Babatunde Soyoye.


Bayport is a leading provider of  unsecured credit and financial solutions  to 
the formally  employed mass  markets in  emerging markets  in Africa  (Zambia, 
Ghana,  Uganda,  Tanzania,   Botswana  and  Mozambique)   and  Latin   America 
(Colombia). Today,  Bayport  services  over  270,000  customers  (total  loan 
portfolio of approximately  USD 400  million) through 289  branches, with  the 
support of 3,300 employees. Bayport has further developed a broad global  debt 
and equity  investor  base  and  wide  relationships  with  multinational  and 
domestic banks and insurance and pension funds in its markets of operation and
in Scandinavia.

Bayport Management  Limited is  required to  make public  this information  in 
accordance with the Swedish Securities Market Act and/or the Financial

Instruments  Trading  Act.  The  information  was  released  for   publication 
on23October 2013 at 07:30 (CET).

For additional information, please contact Grant Kurland +44 (0) 7720 498706 /
David  Rajak   +27   (0)   82   901   9363,   or

BML announcement 23 Oct 2013


This announcement is distributed by Thomson Reuters on behalf of Thomson
Reuters clients.

The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other
applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of
information contained therein.

Source: Bayport Management Ltd via Thomson Reuters ONE
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