Mi Vida Homes announces management-led buyout from Actis

Mi Vida Homes Limited has announced the signing of a share purchase agreement for a management-led buyout of the business from Actis, the global sustainable infrastructure investor, subject to regulatory approval.

The valuation of the transaction was not disclosed. The transaction represents a key milestone in the evolution of Mi Vida which was created in 2018 as a green affordable and mid-market housing developer. We believe the transaction demonstrates that institutional residential developers can be successfully incubated, scaled and developed to investment-grade quality, positioning them for local capital markets participation.

Samuel Kariuki, CEO of Mi Vida Homes, said: “This is the first such transaction involving a residential development platform in our market. This milestone marks an important chapter in Mi Vida’s journey and reinforces the viability of institutional home builders in Africa. It demonstrates that institutional home builders can be nurtured to scale in Africa, operating at high standards of ESG and financial discipline. From inception, our ambition has been to deliver high-quality, sustainable housing solutions tailored to the needs of the local market, while operating with the highest standards of governance and financial discipline. We have been proud to demonstrate that a platform can both serve pressing local housing needs and generate attractive, investment-grade opportunities for global capital.

Today, with a strong balance sheet, a diversified capital base, and a healthy pipeline of projects, we believe we are well positioned to scale further and deepen our impact, as we lead the company into its next phase. We are grateful for Actis’ invaluable role in building a solid investment-grade platform that is anchored on sustainability and high governance standards.”

Louis Deppe, Partner at Actis, said: “We believe this transaction highlights the depth of opportunity for long-term capital formation in African real estate and validates the strength of a model where global investors incubate, institutionalise and ultimately transition platforms to local ownership. Actis’ Africa Real Estate business has been a pioneer in evolving from investor-developers to true platform builders and investors in Africa, one of the first global investors to execute this strategy at scale across the continent. The outcome at Mi Vida demonstrates both the scalability and invest-ability of Africa’s residential sector, underpinned by robust demand fundamentals and increasing depth in local capital markets.

The continent continues to show a robust growth trajectory, where disciplined capital allocation, strong governance and institutional-grade operating models continue to unlock attractive, risk-adjusted returns for our investors.

“We have great confidence in the Mi Vida management team and believe their vision, execution capability, and commitment to excellence will drive the platform’s continued success in its next phase of growth.”

Ravi Rughani, Principal at Actis, said: “We are immensely proud of our partnership with Mi Vida Homes and the journey we have undertaken together since inception. This transaction is not only a validation of the vision we set out to achieve in 2018, but, in our view, a clear demonstration of the institutionalisation of Africa’s residential real estate sector. Over the past six years, Mi Vida has been transformed into a platform with investment-grade governance, a robust balance sheet, and a well-diversified funding base - qualities that resonate with both international and domestic capital providers. Importantly, the platform has achieved this while addressing urgent housing demand in the local market and delivering strong USD returns to our investors.

It has been particularly rewarding to witness how Mi Vida has combined disciplined execution with a commitment to sustainability and community impact, setting new benchmarks for affordable and mid-market housing in the region. The successful transition of ownership to a management-led consortium underscores the strength of the team and the durability of the platform we have built together. This transaction reflects the core of Actis’ philosophy: creating sustainable and scalable businesses that deliver long-term value while addressing critical local needs. We look forward to watching Mi Vida continue to grow and thrive in its next chapter, and remain confident that the management team, together with their capital backers, are well positioned to deliver continued growth and impact.”