U.S. private equity firm Carlyle Group LP has agreed to acquire a stake in South African tyre dealer Tiger Wheel & Tyre, according to a person familiar with matter, marking its first deal in Africa's most developed economy.Private equity firms are targeting sub-Saharan Africa to gain exposure to fast-growing economies and rising consumer spending. Until now, Carlyle has focused its nearly $700 million Africa fund elsewhere on the continent.The investment in South Africa would mark an endorsement of Africa's most advanced economy by foreign investors, even as it has been hampered by slowing growth and labour strife.Carlyle, together with insurer Old Mutual Plc , will acquire the stake from South Africa's Ethos Private Equity, said the source, who declined to be identified because the information is not yet public.
Shares of CG fell by 1.14% or $-0.34/share to $29.46. In the past year, the shares have traded as low as $26.34 and as high as $39.38. On average, 430749 shares of CG exchange hands on a given day and today's volume is recorded at 618768.
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