Aavishkaar Capital, an Aavishkaar Group company and a global pioneer in entrepreneurship-based approach to scaling businesses for impact, in partnership with KfW, announces their second investment from the ESG First Fund with a $ 5 mn loan to Hela Apparel Holdings PLC to fund their Africa growth strategy, Invest-Gate reports.

The investment is a part of Hela’s larger debt funding round involving a leading development financial institution and signals the company’s long-term commitment to manufacturing in Africa.

The ESG First Fund is a $250 mn fund focused on investing in Africa and Asia with a mandate to generate superior environmental and social governance (ESG) outcomes, with commercial and financial returns alongside positive social impact.

Hela Apparel Holdings PLC provides sustainability-focused apparel supply chain solutions to some of the world’s leading apparel brands. The company works closely with global retailers, from design to delivery in the intimate wear, activewear, and kids’ wear product categories.

For His part, A.R Rasiah, Chairman of Hela Apparel Holdings, says, “Hela was one the first major multinational apparel manufacturers to enter the African region in 2016, starting with just 250 employees in Kenya.”

“We have since rapidly expanded our footprint and employ approximately 10,000 people on the continent today. This investment by ESG First Fund will help us to continue this fruitful journey,” Rasiah explains.

Moreover, Ashish Patel, Managing Partner of Aavishkaar, comments, “We are excited to invest in Hela Apparel Holdings and in transforming the apparel and textile landscape in the region,” adding that “Hela is emerging as an export powerhouse, producing to global standards and has immense opportunity to enable large scale job creation whilst building a robust, sustainable business.”