African Asset Finance Company (AAFC), a New York-based non-bank specialty finance company, closed a $30 million redeemable preferred share offering, led by Roha II LP. The financing was completed in two equal tranches.

“The successful completion of this financing demonstrates the strong support shown by our investors,” Frans VanSchaik, CEO of AAFC, said. “The proceeds enable us to continue growing our business and deploy capital in equipment leasing contracts for mission-critical use in sectors that serve fundamental human needs, and we trust the additional equity will reinforce our ability to access financing despite the challenging conditions that exist today. Notwithstanding the COVID-19 pandemic, we experienced strong new lease bookings in Q1, and we took measures as early as January to pre-empt supply chain issues. Moving forward, we will continue to monitor conditions, both in the markets we serve and in our global supply chain as we seek to stay ahead of developments.”

AAFC specializes in providing equipment leasing and asset-based lending solutions to businesses across underserved African markets. The company intends to use the proceeds from the offering to strengthen its equity base for funding and growing a diversified portfolio of equipment leasing contracts in Ethiopia and other African markets, with a focus on agricultural and medical equipment.

“We continue to be very impressed with AAFC’s financial and operating performance and their impact on the local African communities they serve,” Brooks Washington, managing partner of Roha, said. “We are excited to support Frans and his team’s mission of accelerating economic development by removing hurdles caused by equipment shortages and insufficient access to financing across multiple African markets.”

Roha Group Inc is a U.S.-based investment firm that builds businesses in Africa. The firm’s portfolio includes Juniper Glass, Raxio Group and AAFC.