Don’t Settle For Less
Who are we?
SummerPlace Equity Partners is a black female owned fund manager that invests in established, cash-generative medium sized South African businesses (with enterprise values of up to R200-million) in various sectors, that are led by experienced entrepreneurs, and exhibit strong growth potential.
Our private equity fund – the SummerPlace Equity Fund I – is a growth equity fund that invests in businesses that have reached an inflection point and need capital to scale already proven business models. The fund addresses the funding gap for cheque sizes less than R50 million, by deploying equity capital of between R20 million and R50 million to businesses that struggle to access capital through traditional channels.
What we look for
- Growth potential / scalability
- Key consideration: “how can we grow it?”
- Quality of management teams
- Successful, capable entrepreneurs who are hungry for growth and are partnering with us to achieve more than they can on their own
- Understand their integrity, motivations and life philosophies, and how they have impacted company culture
- Financial health (including the macromarket, customer stability; historic y-o-y EBITDA growth; leverage ratio etc.)
- Sustainability (technology, customers, management, competitive advantages, market position (cash flow)
Profile of targeted investments
- Established (more than 3yrs in operation)
- Growth capital required (growth capital is greater than replacement capital)
- Black-owned enterprises
– 75% of investment portfolio: black-owned enterprises
– 25% of investment portfolio: discretionary investments
- Preference will be given to high impact investments
We invest in existing, scalable businesses with cash generation track records and attractive growth prospects, that are led by dynamic, experienced, management teams that have a deep understanding of their businesses and industry dynamics. We actively collaborate with portfolio company management teams to add strategic value in our investments, as well as to influence and support the transformation agendas of our portfolio companies.
Don’t Settle For Less
- Partner with portfolio companies and co-investors
- Focus on growth and accretive acquisitions
- Engage management teams to influence strategic direction while our business networks provide access to new markets
- Target investment opportunities with positive socio-economic development impacts
- Take a long-term approach to our investments
We aim to realise superior medium-to-long-term capital returns through significant minority positions of up to 50% from a portfolio of SME companies, by
- Investing in and promoting growth within portfolio companies
- Facilitating access to markets by leveraging our extensive network of investor partners
- Facilitating transformation in the portfolio companies
- Promoting socially responsible and environmentally sustainable practices in our portfolio companies
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A team of professionals
Modula Mofolo is co-founder and Managing Partner of SummerPlace Equity Partners and has over 17 years’ combined legal (commercial) and private equity experience in South Africa, having been in senior investment executive roles in a number of South African private equity firms. She has led transactions in FMCG (food & beverages), manufacturing, telecommunications & technology, energy, and education sectors. She also has extensive SME financing experience, having worked for an institutional development financier for over 7 years, overseeing the establishment and capitalisation of SME-focused private equity funds and retail financial intermediaries.
Barbara Grantham is co-founder and Director of SummerPlace Equity Partners and has seven years’ experience as a Deal Maker at the Industrial Development Corporation where she structured debt and equity transactions across a variety of sectors, including mining, agro processing, metals manufacturing, ICT, chemicals, wood & forestry, textiles & clothing and construction. Barbara has also built significant expertise in growth coaching for SMEs over a number of years and holds primary responsibility for the fund’s value addition strategy.
Nooraya Khan is an experienced and successful private equity transactor, who was employed in RMB’s Private Equity Division for eight years, during which she obtained vast experience in the negotiation, implementation and management of private equity and black economic empowerment transactions as well as in mezzanine finance and debt structuring. She also served as a director on behalf of RMB on the boards and audit committees of a number of RMB’s investee companies. Prior to RMB, Nooraya completed her articles at BDO Spencer Stewart and later moved to the Industrial Development Corporation of South Africa (“IDC”).
Kameshan Chetty (“Kam”) is currently an Investment Executive at Thesele Group. Prior to this, he spent 7 years at Ethos Private Equity, and almost 4 years at Standard Bank, in the Corporate Finance Division. Kam holds a B.Com (Finance and Accounting). Kam is an independent member of the Fund Investment Committee and is responsible for supporting the Fund Manager in executing the investment strategy of the Fund, deal evaluation and decision-making; and monitoring investment performance.
Ketso Gordhan is the CEO of the SA SME Fund, and has extensive private equity and impact investing experience. Previous roles have included Head of Private Equity at FirstRand; Africa advisor to the Omidyar Network; and Head of Africa for the Commonwealth Development Corporation. Prior to this, Ketso held various government sector roles and has served on numerous private sector, foundation and non-profit boards of directors. He was an advisor to the World Bank Urban Sector on Municipal Restructuring, is an Aspen Global Leadership Fellow, and in 2000, was elected a World Economic Forum Young Global Leader for Tomorrow.
What sets us apart?
We are active investors and get involved in transactions from inception to realisation.
Our active participation stems from a desire to assist portfolio companies to make the most appropriate strategic decisions to ensure long-term success
Our analysis of each opportunity focuses, inter alia, on industry dynamics, competitive positioning, management’s skills, and growth prospects
We engage in rigorous due diligence process to become well-versed in the key issue and opportunities facing management
Post investment, we deepen our relationship with management, and help ensure that the right judgement calls are made
We act as an informed sounding board for management, and where necessary, we engage specialised external resources to assist our management team
Our involvement and support of management teams is adapted based on each entity’s unique circumstances
Over and above our value-add strategy and active involvement with our portfolio companies, our investment team has deep transaction experience in the SME sector, spanning over 20 years combines, with highly complimentary skills. We are a Level 2 BBBEEE contributor, and one of the few female-owned and led private equity fund manager, making us an attractive BEE partner that understands investment
Our Principals are highly networked across multiple industries, with proprietary deal sources that have proven to be highly beneficial in building fund’s pipeline, as well as being a potential source of business opportunities for our portfolio companies.
Block A, 7 Eton Road