AU-backed rating agency seeks $15mn for two-thirds of itself

What the report says

The Africa Credit Rating Agency (AfCRA), a new rating body launched in Mauritius with African Union backing, is seeking $15 million from investors in exchange for roughly two-thirds of its equity, Uganda Business News reported. The article says the offer appears in a confidential preliminary prospectus posted on AfCRA’s website and that the agency’s only current shareholder is Plus 94 Research, a South African firm led by AfCRA’s interim chief executive, Dr Sifiso Falala.

According to the prospectus described by Uganda Business News, the plan is to issue new shares at an indicative price of $7,500 each, implying a post-money valuation of about $22.5 million. The document also says the agency has not yet issued any ratings and has limited operating history, while noting that its figures are not meant as an independent valuation. AfCRA said its first rating could come early next year, and the prospectus lays out safeguards intended to protect analytical independence from shareholder influence.

The report also highlights a possible future acquisition: AfCRA’s Mauritius parent plans to buy a 51% economic interest in Africa Credit Rating Agency (Pty), formerly Sovereign Africa Ratings, a South African entity linked to the country’s regulator. The document does not name a seller or price, and it does not say whether investor funds would be used for that deal.

The article places the fundraising in a broader debate over whether a pan-African ratings agency can win market trust and regulatory recognition. It notes that earlier AU-related planning envisioned a different ownership model, but the current structure excludes government shareholding and frames the agency as privately driven.