Local pension funds have participated in Kuramo Capital Management’s latest Sh64.5 billion ($500 million) fundraiser, underlining the private equity firm's diversification of sources of capital away from the US market.
Kuramo told Business Daily that Kenyan pension funds invested in the latest fundraising though it declined to say how much was raised from the domestic market.
The latest fund raiser marks the first local/regional mobilisation and includes inflows from Nigeria's pension funds, African Development Bank's Investment in Digital and Creative Enterprises (iDICE) and Lagos-headquartered Bank of Industry.
Kuramo noted that 60 percent of the proceeds generated would be invested within the East African region.
The firm says the fresh capital will help extend the life of existing portfolios including the Wholesale Investment Impact Fund (WIIF), Moremi Capital Management and Kuramo’s Gender-Lens initiative platform which supports women-led businesses.
Kuramo deploys funding through three channels; anchoring funds, direct and impact investments.
The pivot to raise funding from the continent has been forced on Kuramo by liquidity challenges faced by US endowments and foundations, caused by factors including President Donald Trump budget cuts to the mostly research institutions.
Kuramo now sees its next evolution as a firm unlocking African capital for continental opportunities.
“Kuramo is appreciative of the support provided over the last 15 years by our western endowments and foundation investors as their support enabled the transformation of the African private equity landscape," said Wale Adeosun, the founder and chief executive officer of Kuramo Capital Management."
"Kuramo is very excited about its Investment Platform, and progress in mobilizing African capital as it helps drive faster economic growth toward the sustainable development of Africa."
Since its founding in 2010, Kuramo has catalysed over Sh452.5 billion ($3.5 billion) to Africa private equity firms and businesses, supported over 20 fund managers, anchored over 15 funds and invested in over 200 companies both directly and indirectly.
Kuramo holds equity stakes in local firms and across different sectors including GenAfrica Asset Managers, Platcorp Holdings Limited-the holding company of Platinum and Momentum Credit, TransCentury Plc and investment bank Sterling Capital Limited.
The firm’s gender lens initiative nurtures women-led funds including capacity building, providing working capital and supporting operations.
Shaka Kariuki, Kuramo’s co-chief executive officer and chief investment officer, who has previously spoken of a shift by local capital to support venture funds and private equity, says the pivot by the firm to raise funds domestically will help local pension funds in diversifying their portfolios.
“We believe that our experience, track record and local networks will strengthen our effort toward mutually beneficial outcomes with our strategic partners and promote impactful investments in the region,” he said.
The Sh2.8 trillion retirement benefits industry had only Sh299 billion in assets invested in private equity or a 1.07 percent share as of December 2025, against a higher regulatory cap of 10 percent, mirroring limited interest in alternative asset classes by local pension funds as per data from the Retirement Benefits Authority (RBA).
The funds instead have the bulk of their assets invested in government securities at 52.18 percent or Sh1.465 trillion.
Other top asset classes for the pension funds in the period were quoted equities, immovable property/real estate, guaranteed funds and listed corporate bonds.
