GEPF signs new investment mandate with PIC

A new mandate for unlisted developmental investments in Africa has been signed by the Government Employees Pension Fund (GEPF) and the Public Investment Corporation (PIC).

In a brief statement released on Tuesday, the PIC confirmed the new mandate but did not divulge the deal’s worth. Bloomberg, on the other hand, stated that the deal is worth $1.6 billion (just over R25 billion).

If this sum is right, it is significantly less than the GEPF’s prior unlisted developmental investment mandate with the PIC, which was worth roughly R70 billion.

The PIC’s announcement comes after its previous mandate with the GEPF expired more than a year ago, and negotiations for a new mandate have been ongoing since March of last year.

According to the PIC, the developmental investment mandate focuses on South Africa and the rest of Africa. “The rest of Africa’s developmental investment portfolio shall mainly comprise of investments between $20 million and $40 million.”

The unlisted developmental investment mandate was initially launched in 1997 by the GEPF, Africa’s largest pension fund, under the name Isibaya Fund. Over the years, it has reaffirmed this responsibility with the PIC.