Sub-Saharan hospitality investment platform Kasada Capital Management has reached an initial close on its Kasada Hospitality Fund LP, with equity commitments of more than $500 million.
This is in line with a strategy disclosed in July 2018 by Katara Hospitality and Accor, which are contributing $350 million and $150 million, respectively, to the fund. The fund will target both greenfield and brownfield projects.
Kasada Capital Management intends to bridge the gap between the local hospitality market players and international investors. The team is co-led by CEO/Managing Partner Olivier Granet, a former CEO of AccorHotels Middle East and Africa, and CIO/Managing Partner David Damiba, a former partner at Helios Investment Partners.
"There is an incredible opportunity ahead to try out an innovative hospitality investment platform in the region," said Granet. "While in other parts of the world such initiatives are already thriving, they do not exist with critical size and integrated structure in Sub-Saharan Africa."
The support of both Accor and Katara will enhance the platform's ability to raise debt efficiently from local banks and international financial institutions, he added.
According to Kasada, co-investments with local partners will support job creation and further local business opportunities, from investors to contrators to equipment suppliers.