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Catherine Mahugu: Inspiring Women in Kenyan Tech

25 July 2016 Comments (0) Africa, Featured, Leaders

Catherine Mahugu

Catherine Mahugu is a tech innovator from Kenya who has built an empire on socially beneficial projects and connectivity.

Catherine Mahugu is leading the way in the Kenyan tech industry. Currently working from San Francisco for her e-commerce accessories business which connects consumers and local African manufacturers, she has made waves across the tech, IT and retail worlds. She credits her early interest in science and technology to her engineer father and at just 27, she has achieved a great deal in these industries.

Early life

Mahugu graduated from the University of Nairobi with a bachelor’s degree in Computer Science. From an early age she broke the mold, favoring entrepreneurial projects over “corporate” roles that she considered to be the “safe option.” Her first projects were collaborations with her student colleagues at university, such as a mobile application that helps rural water vendors connect with customers by advertising their location and prices.

Combining her degree, enterprising spirit and intimate knowledge of the regional issues affecting her native Kenya, Mahugu has been at the forefront of creating many projects that benefit local people. Her first official foray into the tech world was with KamataKab, a mobile solution that uses GPS to locate taxis in the area, an option to contact and then a rating system to rate the taxi’s service for other users to utilize. Although this was the overall winner at the Garage4Kenya awards in 2011, Mahugu knows that this app was a little too ahead of its time; it didn’t meet the recent successes of Uber and Easy Taxi today. This hasn’t fazed Mahugu however, and she feels that the experience showed her that innovation was a viable career route and that her ideas had traction in the tech world.

Innovation, Innovation, Innovation

The building blocks to her latest enterprise can be seen in her next project, SasaAfrica. This provided the foundations for Soko, launching an app that allowed merchants to connect with customers using only their mobile phones. The idea for the projects came from a chance meeting with the two other founders while in Nairobi. They all believed in a future for mobile phone technology to help African enterprises. With the percentage of mobile phone usage up to 90% in some parts of Africa, they realized that is was an obvious global solution to connectivity issues between consumers and vendors. After seeing many predominantly female artisans at local markets struggling to sell their ware to a limited customer base, they decided to launch a global marketplace that these vendors could access, in which they could accept orders and then organize distribution.

soko artisans

Profiles of the artisans on the ShopSoko.com website

Now based in California, the company helps over 1,000 artisans sell their products to a global community. After joining the Soko network, users see their yearly income increasing by a massive 400% on average. They now operate in over 40 countries and plan to expand to reach vendors in Mexico and India. Mahugu is committed to overcoming the challenges that many Africans face. They were confronted with supply issues from vendors, caused by problems such as inconsistency of electricity, so they are adapting their business model to include trusted, shared spaces where artisans can create and collaborate.

Mahugu knows the struggle many women face coming from traditional backgrounds, having less access to education, and to the outside world. She is committed to rebalancing gender inequalities and believes that “when one woman helps another, amazing things can happen.” She is a role model to young women, particularly in the tech-world. When she was expanding her business, and receiving no applications from women for the technology roles, she realized something had to be done to appeal to women like herself. She explained that the gender imbalance in the tech industry was “a harsh reality that dawned on me, and that we still need more women in technology and collaboratively need to promote this awareness.” Social enterprise and IT seem to be a winning combination for Mahugu, and her commitment to social justice and interest in empowering other women in the tech-world make her a person worth keeping an eye on.

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Koffi Djondo – the Togolese entrepreneur, driven by pan-African ideals

22 July 2016 Comments (2) Africa, Featured, Leaders

Koffi Djondo

Koffi Djondo is one of Togo’s most successful businessmen, but success for Africa is his ultimate goal.

Koffi Djondo may not be a name that is familiar to a lot of people outside of Togo, but Djondo is a businessman who has had huge influence on Africa’s economic landscape. As the co-founder of EcoBank and Asky Airlines, Djondo has established not just successful businesses, but enterprises that look to foster pan-African principles.

A difficult beginning

Koffi Djondo was born in a small Togolese village on July 4th, 1934. Djondo recalls a childhood characterized by extremely strict parents who eventually separated. Although Djondo does not recall his early years with much fondness, as an only child he developed a sense of self-reliance that he took into his studies.

However, even Djondo’s university education was beset with difficulties due to the politics of Togo at the time. While studying a degree in Accounting at the Institute of Social Sciences, Labor University of Law and Economics of Paris, the Togolese government contacted French authorities to ensure that Djondo was expelled from the university. This was a personal vendetta against the Djondo family, as Koffi’s uncle, Nicolas Djondo, was an outspoken critic of the Togolese regime.

Despite this setback, after a coup in Togo saw regime change, Djondo managed to return to France and complete his education. Djondo began working for the airline UTA, before moving into newly established government roles. In 1964, Djondo was appointed as the executive director of a government body – Family Allowances Fund – where he was responsible for the introduction of a mandatory retirement age and pensions. By 1973, Djondo was chairman of the Economic & Social Council, and only two years later he was elected as the president of the Chamber of Commerce and Industry of Togo.

A meeting of minds

As Djondo’s government career progressed, he eventually found himself as the President of the Federation of West African Chambers of Commerce. It was here that Djondo met his Nigerian business partner, Adeymi Lawson, and the birth of a business dream was realized.

With the help of the entrepreneur, Henry Fajemirokun, Djondo and Lawson created the first pan-African bank, EcoBank, in 1985. The goal was not simply to create a prosperous business, but to create jobs across the continent, and to imbue young Africans with a sense of opportunity and pride.

Koffi Djondo

EcoBank is now present in 33 African nations, employs over 18,000 Africans, and had a turnover of $2.3 billion in 2013. The bank has offices from London to Beijing, and Djondo feels that its success is linked to his ethos of pan-Africanism, explaining, “You can notice that African strength lies in unity; what we can call togetherness… It was this which gave success.”

EcoBank’s spirit of empowering young Africans was something that the men behind it felt was important, as it made employees “feel that their purpose was more than just making money.” The bank’s hiring policy was to find people with a “passion to make a difference in Africa.”

Renewed goals for a new century

Koffi Djondo continued making moves to invest in new ventures as the 21st century began, as he looked to create an airline that matched the philosophy of his African owned bank. His dream led to the creation of Asky Airlines in 2010, and in 2011 its first commercial flights began. While the inaugural flights often had only 10 passengers on them, by 2014 they were flying 8000 passengers a week, with an 80% occupancy rate on their flights.

Asky won the award for the “Best African Company of the Year” at the prestigious African CEO Forum Awards, and the company employs over 250 people. Djondo believes strongly in the need for greater integration between African nations, saying “Integration of the continent is the only way by which Africa will find its safety, through a common regional market.”

Asky is a company founded on the concept of integration, and Djondo sees transport as key to wider African cooperation, explaining, “pan-Africanism and integration starts with people moving…If we want to make business…we have to create the appropriate means to make things move.”

Djondo is held in such reverence by many Togolese that the village of his birth has been renamed Djondo-Condji in his honor. The man himself now lives in a village he built, Djondo Kope, but he is not relaxing in retirement. Djondo plans to expand Asky Airlines, and Ecobank grew 14% in 2014. It’s a busy life for Togo’s most successful octogenarian.

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From Tragedy to Tech Triumph: Mubarak Muyika

16 July 2016 Comments (0) Africa, Featured, Leaders

Mubarak Muyika

The remarkable story of Mubarak Muyika and his burgeoning tech empire.

The tech scene is exploding across Africa as ambitious young entrepreneurs are changing the face of the continent. Kenyans have been at the vanguard of the action in recent years. One individual currently making big waves is Mubarak Muyika, a dynamic 22 year old with a colorful past.

Muyika was born in Western Province, Kenya. His father was a prominent civil servant and his mother was a high school teacher. Unfortunately, his young life was marked by tragedy: his father passed away when he was two years old. Then, when he was ten, his mother died and the young orphan was taken in by his mother’s sister and her husband.

Great Beginnings

It has long been observed that tragedy seemingly makes, or breaks an individual. In Muyika’s case, it was most certainly the former. He was known as a sharp and gifted student and it was in the early days of high school that his tech-entrepreneurial promise first blossomed.

Aged 16, Muyika developed the “enhanced petrol tracker.” The tracking database was designed to mitigate government mismanagement of oil resources by more efficiently cataloguing oil tanker movements, oil flow and demand. The project was incredibly well received. He was recognized as the best student in the computer exhibit category at the annual Kenya Students Congress on Science and Technology.

His adoptive parents were the owners of a book publishing and distribution company, Acrodile Publishers. Mubarak realized that the web presence provided by their current website manager was substandard and expensive, bottlenecking the company’s productivity. He taught himself PhP, Java and HTML and built a highly functional website for the business.

Business Blossoms

On the back of his newly earned skills, Mubarak launched his first business, Hype Century Technologies and Investments LTD. The company offered website designation, management, domain reselling and hosting services. He enlisted the help of two friends and the business quickly began to take off.

In a 2012 interview, Mubarak spoke about Hype Century’s remarkable success in the startup period: “By May after our first financial year we had about 1,800 domains which represented clients in Kenya, Uganda, Tanzania, South Sudan and some in the RC (Republic of the Congo). That was something that I can say is the biggest achievement, in terms of where the company is today.”

It was during this early period that Kenyan multi-millionaire Chris Kirudi realized Mubarak’s great potential. Through his contacts he recommended Mubarak for a scholarship to one of the world’s most prestigious universities, Harvard. Incredibly, Mubarak turned down the scholarship in order to focus on his business ventures, demonstrating extreme belief in his own talents and entrepreneurial ability. He is a man who knows his own mind. He gave insight into his tenacious business philosophy, saying, “If you are in a society with intelligent people who have a plan and a strategy, you need a plan, a strategy, speed and aggression. That is the only way to succeed in Africa.”

Soon, Mubarak’s business attracted heavyweight attention. International tech investor Jignesh Patel teamed up with the rising star, buying a 25% stake in the company. This proved to be a shrewd move, as Patel’s connections and experience propelled the firm to even higher heights.

A Bright Future

Zagace platform

Zagace platform

However, Mubarak soon felt the itch to challenge himself further; he clarified his decision to move on from Hype Century saying, “I had the feeling that I was not maximizing my potential. I opted to sell my shares and develop a new venture.”

In 2013, he settled a deal netting himself a cool six figure settlement for his 60% stake. Astonishingly, Mubarak was still only 19 years old.

His newest venture, ZAGACE is both ambitious and innovative. His firm offers a unique service providing a completely integrated, online business management toolkit for small and medium sized companies. ZAGACE allows users to manage human resources, inventory, accounting and communications all through a series of well designed, instanced apps. The concept has been lauded as ingenious and effective.

Eager to feed his business with the best talent available, Mubarak has recently moved his operations to Silicon Valley, USA. The young Kenyan means serious business, and the world has noticed. In 2015, he was named one of Africa’s most promising entrepreneurs in Forbes 30 under 30, while Yahoo named him one of nine “Mark Zuckerbergs” of other countries. With his talent, resilience and determination, Mubarak Muyika is setting the tech scene ablaze. We will no doubt be hearing more about him, very soon.

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Beninese doctor honored for “green” anti-malaria drug

15 July 2016 Comments (0) Africa, Featured, Leaders

Valentin Agon

Valentin Agon wins $100,000 innovation prize for an effective and inexpensive treatment made from a plant extract.

A Beninese doctor has won a top innovation prize of $100,000 for an anti-malaria drug he developed from a natural plant extract.

Valentin Agon received the Innovation Prize of Africa in June for his creation of the drug, Api-Palu, which is already being marketed in Benin, Burkina Faso, Chad and Central African Republic.

The drug is significantly less expensive to produce than other anti-malarial drugs and is more effective.

“Api-Palu is a remarkable product that (has) affordability, a good safety profile, and a fast rate of malaria parasite clearance from the blood following short-term treatment at relatively lower doses,’’ innovation prize officials said.

Nearly 1,000 contestants

Agon won first place in the competition among 10 finalists chosen from nearly 1,000 applicants.

Imogen Wright of South Africa took 2nd place for Exatype, software that helps health care workers determine whether HIV patients are responding to drug treatments. Eddy Agbo of Nigeria received the Special Prize for Social Impact for Urine Test for Malaria, a medical device that can diagnose malaria in less than a half hour. Wright and Agbo each received $25,000.

Innovation Prize for Africa 2016

Innovation Prize for Africa 2016

The awards program, a project of the Africa Innovation Fund, rewards healthcare solutions that address Africa’s malaria and HIV/AIDS problems.

Jean Claude Bastos de Morais, founder of the innovation competition, said the project had amassed a database of more than 6,000 innovators and made cash investments of $1 million since it began five years ago.

He said the award to Agon for his anti-malaria drug was particularly gratifying.

“A product for malaria coming from Africa for Africans, this is my dream. My dream comes true. Finding a solution based on a natural product is what I have dreamed about,” de Morais said.

Green medicine researchers

Educated in Canada and Cuba, Agon has researched green medicines for 25 years and has spent 16 years developing the drug. He plans to use the prize money to increase production and hopes to distribute the drug in every country in Africa by 2017.

His discovery is cheaper because it is extracted from a plant that is abundantly available on the continent. It is also more effective than other anti-malarial drugs because it inhibits 3D7 strains of Plasmodium falciparum, which cause malaria, and can act against the disease within a few hours, the innovation judges said in awarding him the top prize. It is available in the form of tablets, capsules or syrup.

An estimated three billion people are at risk for malaria worldwide. The World Health Organization estimates that sub-Saharan Africa accounts for 88% of all cases of malaria and 90% of reported deaths.

Costly treatment

“Some African governments spend up to 40% of their public health budgets treating malaria,” the innovation contest said. “In this context, Api-Palu, can be considered a significant contribution in the fight against malaria.”

According to the Centers for Disease Control and Prevention, Africa is highly vulnerable to malaria because the predominant species, Plasmodium falciparum, is most likely to cause death, and the climate allows transmission to occur year round.

In other areas of the world, such South Asia and Latin America, malaria is less likely to cause death but can still result in severe illness and incapacitation, according to the CDC.

The disease continues to be a serious problem, but eradication efforts are showing results.

Since 2000, malaria death rates globally have fallen by 60%, and new cases have dropped by more than a third, according to the World Health Organization. In Africa, death rates dropped by more than two-thirds.

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Paul Ballen looks to make ice-cream a South African passion

4 July 2016 Comments (0) Africa, Featured, Leaders

Paul Ballen Ice Cream

Paul Ballen’s ice-cream startup is making waves with its unique flavors and fresh approach.

Ice-Cream is pretty big business across much of the world, but South Africa is not a name that most would connect with the frozen treat. Paul Ballen is a man intent on changing this, and on creating a brand of ice-cream that is known for its quality and innovative flavors.

Ballen’s company, the eponymous Paul’s Homemade Ice-Cream, has been creating a stir in his hometown Johannesburg with its bold varieties and focus on high quality ingredients.

As the Paul’s Homemade Ice-Cream range expands and grows in popularity, ice-cream lovers will be hoping it spreads outside of its home country.

It started with a gift

The beginning to Ballen’s company began only 6 years ago, when his mother bought him an ice-cream maker for his 21st birthday. Something that was initially just a bit of fun in his parents’ kitchen, turned into a passion and a small source of income. Bellen said, “I started playing with different flavors and textures. I shared it with my friends and…ran it as a side business throughout my university studies and began supplying delis and cafés.”

Paul's ice cream flavors

Paul’s ice cream flavors

This small project slowly grew, as Ballen used social media to show people his latest flavor creations. One machine in his parents’ kitchen became three machines in the garage, as Ballen began to take orders from friends and local people. At this stage the business had grown, but it was still a very small operation. However, Paul Ballen decided to team up with a University friend, Josh Amoils, and as business partners the duo decided to make Ballen’s passion a full time enterprise.

Amoils said, “I was excited about new ventures and new opportunities and we decided to give it a go in March 2014. We moved from the garage at Paul’s parents’ house to a workshop…we simultaneously had to get on the road and visit distributing outlets to try get our ice cream out there. Things just developed from there. We just constantly kept moving forward.”

Innovative flavors lead the way

A consistent factor with Paul’s Ice-Cream, whether from his early experiments in 2010 to his latest releases, is the focus on unusual flavors and fresh ingredients.

While the range includes classic ice-cream flavors, Ballen is constantly trying new combinations and ideas to ensure that the range excites consumers.

To get an idea of their range, consider that as well as offering the ubiquitous strawberry flavor, there is also a Strawberry & Pink Peppercorn. How many other brands of ice-cream offer flavors such as, White Russian, Oatmeal & Raison and Spiced Pumpkin & Marshmallow?

Paul's Homemade Ice-Cream

Paul’s Homemade Ice-Cream

While many of these flavors remain as permanent fixtures in their range, what really differentiates Paul’s Homemade Ice-Cream is that, as an artisanal product it can constantly offer limited edition flavors to keep interest high.

Ballen says, “We create really innovative flavors. Each month we run a campaign where we create a buzz around a topic or theme and then develop an ice cream flavor based on the theme, which is then available for that month.

These flavors are also highly focused on fresh ingredients with no artificial flavorings, and no automated machinery involved in creating each batch. Amoils explains that, “We only use natural ingredients, no preservatives, no additives. We don’t compromise on the quality of the ingredients, they are as good as you can get. We feel our stuff is made with love.”

The future of Paul’s Homemade Ice-Cream

Several cafes and restaurants around Johannesburg now stock Paul’s Homemade Ice-Cream, and the company has had international media interest. Despite growing interest, the company’s ice-creams remain a true craft product, as opposed to a mass-produced product that simply uses the fashionable label of “craft” for marketing.

Bullen and Amoils currently employ a workforce of 20 people, and like any successful business it is bound to grow, but neither of the two entrepreneurs wishes to alter the ethos of what has made the company so popular with its customers. Amoils explained, “We would rather maintain our current process of training up craftsmen, as opposed to investing millions in machinery to scale up production.”

While it is an admirable approach, it means that it could be a while before dessert lovers outside of South Africa get to enjoy White Rabbit or Apple Pie flavor ice-cream.

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An African leader for global health?

29 June 2016 Comments (16) Africa, Featured, Leaders

Tedros Adhanom Ghebreyesus

The African Union supports Ethiopian Tedros Adhanom Ghebreyesus to become the first head of the World Health Organization from the continent.

With Africa bearing much of the brunt of disease globally, who better to lead the United Nation’s World Health Organization than an expert from the continent?

That is the reasoning as the African Union throws its support behind the candidacy of Tedros Adhanom Ghebreyesus, Ethiopia’s foreign minister and former health minister. As Africa recovers from the recent Ebola epidemic, an official from the continent would bring the perspective of someone who has seen its health problems on the ground.

U.N. members will choose a new WHO leader in May 2017 and the campaigning is well under way. Tedros is one of three candidates for the top post. The others are Phillippe Douste-Blazy, a former foreign minister and health minister from France, and Sania Nishtar, a former minister of health and education from Pakistan.

The 8,000-person health agency was founded by the United Nations after World War II to set global health policy and tackle major health emergencies. It has the authority to spur urgent drug development and push governments to fund essential drugs, as well as to declare public health emergencies.

“Someone with fresh experience from Africa can bring you a fresh view,” Tedros said.

Ethiopian growth cited

Tedros points to Ethiopia’s economic growth, as well as achievements in improving health care. He cites his government’s quick reaction to the region’s current drought, which avoided famine.

He said his experience reforming Ethiopia’s health system and reorganizing finances of the Global Fund supported his qualifications for the World Health Organization job.

Tedros became minister of foreign affairs in Ethiopia in 2012 after serving as health minister since 2005. He has also served in leadership roles in federal and regional government.

Tedros as minister of foreign affairs in Ethiopia

Tedros as minister of foreign affairs in Ethiopia

He earned a Ph.D. in community health and a master’s degree in immunology. He began his career in health in 1986. In addition to being the first African leader of the agency if he is elected, Tedros would be the first who is not a medical doctor.

Renowned for malaria research

A globally recognized researcher on malaria, he published a study of the incidence of malaria among children living near dams in northern Ethiopia, a key contribution to the field in 1999, and was named ‘‘Young Investigator of the Year’’ by the American Society of Tropical Medicine and Hygiene. He was the first non-American to receive the “Jimmy and Rosalynn Carter Humanitarian Award” in 2011 for significant achievements in improving human health.

According to the Global Fund, Ethiopia’s health programs are well managed and report significant achievements, including a 50 percent drop in the incidence of HIV and an even greater drop in AIDs-related deaths.

Still, Tedros’ tenure as health minister was not without controversy. Several groups of Ethiopians living abroad are opposing his candidacy, citing his refusal to declare a cholera epidemic when he was health minister that led to thousands of deaths. Tedros responded that the deaths could have had many causes, but a report said laboratory checks confirmed cholera was the cause.

The ministry also had to return $6 million to the Global Fund amid accusations that funds to fight HIV were misspent on health clinics. Tedros denied the money was misspent. He said the funds were returned because they were spent after a deadline had passed.

African Union backs candidacy

The African Union endorsed his candidacy in January.

“He is Africa’s candidate,” said Abdelmalek Boudiaf, Algeria’s health minister.

Margaret Chan, the current WHO chief, said half the regions of the world had never had one of their own leading the health agency. Eight chiefs have come from Europe, the Americas or the Western Pacific, which includes China and Japan.

The French candidate, Douste-Blazy, dismisses the importance of geopolitics, saying strong leadership ability is the key.

Sania Nishtar, the Pakistani candidate, said the argument for an African leader could just as easily apply to South Asia.

Vote “a nail biter”

Geopolitics could give the African candidate an edge in the voting. This year, for the first time, each of the U.N.’s 194 members gets a vote rather than the executive board making the selection.  With 54 states, the continent will account for more than a quarter of the votes.

Still, in spite of the backing of the African Union, delegates from at least two West African nations that are former French colonies said they preferred the French candidate.

Nothing is certain. “It will be a nail biter,” said Suerie Moon, research director at Harvard Global Health Institute.

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Romain Girbal: Doing Mining Differently in Africa

28 June 2016 Comments (0) Africa, Featured, Leaders

Mining has often been a “dirty” industry, with a history of exploitative social practices and environmental degradation, particularly in Africa. Various treaties and organizations have made efforts to clean up mining practices over the years, but French entrepreneur Romain Girbal has decided to start at the source. He is the president and cofounder of the Responsible Mining Alliance (AMR), a new company that is working to develop responsible mining projects in Africa that respect both the community and the environment. The company has already started its first bauxite mine in Guinea and its passionate leader is looking to expand.

Romain Girbal: From the City to the mines of Africa

Romain Girbal looked set to pursue a career climbing the corporate ladder. He studied business law at the University of Paris X Nanterre and international trade in Madrid. After graduating from the prestigious HEC business school in Paris in 2007, he moved to London and worked in the City as a junior consultant in structured financing for mining behemoth Glencore, where he focused on West Africa and Latin America. Glencore is the world’s largest commodities trading company, with over $170 billion in revenue in 2015. Looking back on his experience there, Girbal notes that “working there allowed me to familiarize myself with the sector and to quickly learn its norms, challenges and growth opportunities.” These lessons helped him to later launch the Responsible Mining Alliance.

In 2008, however, Romain Girbal left Glencore to become the director of the legal department of Harvest Energy Limited (owned by State Oil), a British company working in fuel distribution in several European countries. In his new role, he managed the daily negotiation and drafting of contracts. Girbal soon felt the need for a change, stating, “I then realized that I had more of an entrepreneurial spirit, and I wanted to try out an African adventure.” He joined up with Thibault Launay, a friend he made in London, and the two decided to try to make it on their own.

In 2012, they created Adventure Capital Corporation, a venture capital and consulting firm specializing in mining, oil and gas investments, mostly in Africa. These first steps foreshadowed the creation of the Responsible Mining Alliance in July 2015. This time, Romain Girbal and Thibault Launay set out to develop mining projects in Africa that were responsible both socially and environmentally, an innovative and ambitious vision that would begin to take shape in Guinea.

The Responsible Mining Alliance (AMR) rethinks mining

logo-alliance-mimiere-responsable“With the Responsible Mining Alliance, we wanted to show that you can do mining differently,” declared Romain Girbal in February 2016 when asked about the philosophy of AMR on French business channel BFM. With this credo in mind, the two young French entrepreneurs set up shop in Guinea, persuaded of the enormous potential of mining in this emerging country. The Responsible Mining Alliance now holds a bauxite mining permit in Boké, in the northwest of the country.

Although Romain Girbal and Thibault Launay were eager to jump into the mining sector in Africa, they wanted to do so in a new and ambitious way. This is why the Responsible Mining Alliance goes further, with the goal of doing “socially responsible mining” as they told BFM Business. What does that mean?

“We’re trying to set new standards in the mining industry, first in Guinea where we are starting our operations. We’ve signed partnership agreements with the Boké School of Mining and the Boké Center for Professional Education so that our mining engineers and geologists can give free classes there,” explained Romain Girbal, sincerely motivated by the idea of changing things in an economic sector that has been stained by negative clichés. While the government of Guinea has standards for socially and responsible practices, his group is “working hard to set ever higher standards. Mining is about more than extracting raw materials. It can also be a way to get local communities involved in mining by starting win-win partnerships for everybody.”

The Responsible Mining Alliance’s vision could be summed up in a few key points: following high social standards, respecting the environment, favoring local employment as much as possible and training engineers and workers through partnerships. These aren’t just pretty words; as Romain Girbal likes to point out, “For us, we consider it a requirement. In terms of employment, for example, right now we are only a small team in Guinea, but 18 of our 21 employees are Guineans.”

romain-girbal-photo-conseil-administration-alliance-miniere-tesponsableThe high standards Girbal has set for his project have attracted outside attention as well: in January 2016, Xavier Niel, the famous French billionaire and boss of telecom operator Free, decided to invest in the Responsible Mining Alliance via his personal holding company NJJ Capital. This was a big publicity win for the young mining company, and other well-known investors and partners have since joined the adventure. These include Anne Lauvergeon, ex-CEO of Areva; Edouard Louis-Dreyfus, head of Louis Dreyfus Shipowners; Alain Mallart, head of Energipole; and Daniel Lebard, head of ISPG. Not to mention Arnaud Montebourg, the former French Minister of the Economy, who worked his network to support the young French entrepreneurs’ project. In addition, the well-known French business journal Les Echos recently wrote an effusive article on AMR about how this mining startup is taking the Paris elite by storm. It’s just the latest media success for a project that seems to be going quite well.

Bauxite, the mineral at the heart of the AMR

Beyond the historical ambitions of this project, the AMR represents a strategic business choice to invest in bauxite, a mineral necessary for the production of aluminum. Bauxite is sold to aluminium oxide refineries, who then sell it to aluminum smelters to make the final product. According to Girbal, “You need about 4 tons of bauxite to produce 1 ton of aluminum.” In the context of globalization, where emerging economies like China have profoundly shaken up the market, bauxite is one of the most important raw materials for several strategic economic activities, such as aviation, transportation and construction.

In 2010, worldwide production of bauxite reached 211 million tons. Australia is the largest producer, with a third of the market, followed by China, Brazil, India and Guinea, which holds an 8% share.

According to the French Geological and Mining Research Bureau (BRGM), Guinea alone holds 52% of the world’s bauxite reserves. Romain Girbal readily shares this number to show the potential of the Responsible Mining Alliance in this West African country undergoing rapid growth. “For the moment we’re only operating in the Boké prefecture, which is the real global center of bauxite and where the future of this strategic mineral lies because it’s where you find the world’s best bauxite,” Girbal notes. “Big mining companies are setting up here more and more.”

In Boke prefecture, in the northwest of the country, the Responsible Mining Alliance has obtained an exploration permit for 295 square kilometers (114 square miles). Prospecting has already begun and extraction should start soon. This deposit contains an estimated 650 million tons of very high quality bauxite.

“I think we came at the right time to Guinea, getting started with a very promising bauxite permit,” Girbal says. “That’s how we have been able to develop the Responsible Mining Alliance and get to where we are today.”

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In Madagascar, a small family company mushrooms

28 June 2016 Comments (0) Africa, Featured, Leaders

Ylias Akbaraly

Ylias Akbaraly heads Sipromad Group with 2,000 employees and revenue of $100 million a year.

Madagascar is among the world’s poorest countries, but that hasn’t stopped businessman Ylias Akbaraly from amassing a fortune estimated at $710 million.

Akbaraly, a Franco-Malagasy of Indian origin, has helped build a family business into a conglomerate with holdings in industry, tourism, real estate, aviation, banking, agribusiness, pharmaceuticals and security as well as technology and telecommunications.

Forbes ranked him as the fifth wealthiest person in francophone Africa and his company reported $100 million in revenue last year.

He has master’s degrees in management and marketing from the University of California, Berkeley, and from the School of Management Company of Paris. He also sits on the international council of the Belfer Center for Science and International Affairs at Harvard University.

Company employs 2,000

As chairman and CEO of the Sipromad Group for 20 years, he has helped transform his family’s business from a company of 20 employees to one with 2,000 people on staff and offices in Mauritius, Paris and Dubai in addition to Madagascar.

sipromad.com

sipromad.com

He received the Pravasi Bharatiya Samman Divas Award in 2009, the highest recognition from the Indian Government to a non-resident Indian, and Britain’s Non Resident Indian Businessman of the Year in 2006.

In 2008, he also co-founded with his Italian-born wife, Cinzia Catalfamo Akbaraly, the Akbaraly Foundation, a charitable organization that aims to reduce poverty through the development of projects in education, nutrition, health, child development and housing. The foundation currently is focused on the “4Awoman Project” to fight against women’s cancer in Madagascar and in Africa.

Akbaraly is also a director of Man and Wife, a family and social magazine published in India, Real Estate Observer, a magazine specializing in real estate and real estate development in India, and the Madagascar Foundation in United States.

Building tallest structure in region

The company is building the Orange Telecommunication Tower, a 33-story headquarter building in Atananarivo, Madagascar, that is expected be the tallest structure on the Indian Ocean.

The family and the business grew from humble origins.

His family came from India to Madagascar in 1918 when his great-grandfather sought better opportunities. He became a trader in the coastal town of Belo Sur Tsiribihina. The business passed through generations, and Akbaraly’s father moved the company to Antananarivo in 1972. Initially, Sipromad manufactured and sold wax in Madagascar, then diversified into soaps and candles.

After he returned from studies in the United States, Ylias Akbaraly began working in real estate and rose within the company.

Company sales total $100 million

With the expansion of capitalism in the country starting in the 1980s, more investment was possible and the company expanded its holdings significantly.

Today, the family group includes some twenty companies in different sectors as well as interests in other firms and has combined sales of $100 million.

Akbaraly, who aspires to make his home country a major trading hub on the Indian Ocean, said his hero in India is Mahatma Gandhi because he was able to elevate an entire nation and help it grow.

He said he also admires U.S. President Barack Obama as a symbol of global change.

He sees a bright future for his home country as a hub for trade between the Indian Ocean and Africa and a great place to invest, especially in tourism, agriculture, renewable energy and mining. As its political unrest comes to an end, the country, he said, is primed for growth.

“I dream that this beautiful island will become the dragon of the Indian Ocean and a hub for all Africa.’’

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Who is Hisham el Khazindar?

17 June 2016 Comments (0) Featured, Leaders, Middle East

Hisham el Khazindar

Hisham el Khazindar, Co-founder and Managing Director at Qalaa holdings shows what he, and Egypt, are made of.

Hisham el Khazindar has gone from being a graduate in Cairo to running one of the Middle East’s leading investment firms, picking up an MBA from Harvard and work experience at places like Goldman Sachs. But how did this graduate from the American University in Cairo end up running a billion-dollar organization? First, look to exactly what he achieved along the way.

The man with the M&A plan

After graduating from the American University in Cairo in 1996 with a BA in Economics, Khazindar aptly started his career with EFG Hermes, a leading investment bank in the Middle East and North Africa (MENA) region. He spent his first three years there advising on key cross-border Mergers & Acquisitions (M&As), as well as carrying out high-profile equity offerings. Much like someone not accustomed to letting a good opportunity go to waste, Khazindar seized the chance to take a temporary transfer at Goldman Sachs in London in 1999 that lasted two years, continuing his work on M&As.

Khazindar returned to EFG Hermes as an Executive Director, advising on M&As and Initial Public Offerings (IPOs) – however, he was yearning for more. In 2001, Khazindar decided that the best way for him to progress would be to complete an MBA at Harvard Business School and, after graduating, Khazindar did not spend much time doing nothing. In 2004 he co-founded Citadel Capital (now known as Qalaa Holdings) and is now Managing Director of a $9bn private equity firm that controls investments in industries as varied as mining, oil and gas, cement, agri-food, transportation and logistics.

Perhaps due to his phenomenal progress, Khazindar sits on several boards in the region, from electrical and wind energy companies to eyewear providers. The list goes on: in total, Khazindar serves as director to six other companies and sits on the board of eight more. As if this wasn’t enough, he’s also earnt accolades including Young Global Leader in 2013 and being listed in the top 100 Young African Leaders.

Not an Inexperienced Public Orator

Khazindar is not unaccustomed to speaking in front of large audiences, having spoken at an Egypt: The Future conference and even given a TEDx talk, a local version of TED talks, about Egypt’s next 20 years. When he spoke at the TEDx in his native Egyptian Arabic, he occasionally brought in his perfect command of English to explain his ideas and largely did so with the eloquent ability of any other TED talk. He spoke of the importance of maintaining a reputation in business and of having to explain away any negative stereotypes that people can have of businessmen or entrepreneurs. This is something, he joked, that doctors and engineers have no problem with (jobs considered very prestigious in parts of the Arab world). Continuing to talk of the importance of the changes in Egypt and the necessity of grasping opportunities, Khazindar is certainly thinking of the impacts of his choices today in 10 or 20 years’ time.

In an interview with the Oxford Business Group, Khazindar kept away from delving into politics as much as possible, but he was unambiguous when it came to economic policies that the government would need to implement in order for economic recovery and growth to occur. These were, in no particular order, signs of lasting stability, appointment of ministers with proven economic ability, a workable constitution and articulation of clear economic objectives. As the interview moved onto financing tools and energy subsidies, Khazindar goes on to talk about the importance of SMEs and direct cash programs.

The future’s bright, the future’s…

Evidently, Khazindar knows what he’s talking about, he isn’t afraid to say what he thinks and he won’t let one success distract him from the next. His thinking is long term, for the progress of not just the Egyptian nation, its people and government, but of the entire region too. Something that Khazindar is quick to highlight is Egypt’s economically advantageous geographical location in Africa, in the middle of the Arab world and across the Mediterranean Sea from Europe; markets, he adds, with 1bn, 400m and 700m people, respectively. With such a large workforce to drive the economic growth (almost one in four Arabs in the Arab world is an Egyptian), it’s hard to see a future that isn’t better for Egypt.

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Herman Heunis: the tech entrepreneur who stepped away from the limelight

7 June 2016 Comments (0) Africa, Featured, Leaders

Herman Heunis

What’s next for Herman Heunis, the man who created “Africa’s Facebook”?

Herman Heunis is the man who created MXit, which was at one point Africa’s most subscribed to social media platform. Born in Namibia, Heunis grew up in a rural community where his parents ran a sheep farm, but Heunis was drawn to technology as a young man. Having moved to South Africa, Heunis attended Stellenbosch University in 1977 and 3 years later began his career in computer programming.

It was not until 1990 that Heunis launched the first of his own businesses, when he created an ICT consultancy firm. This was followed in 1998 by the launch of Swist Group Technologies, an information and communication technology company which specialized in software development. This entrepreneurial spirit would eventually lead to the formation of MXit.

The MXit explosion

MXit was launched in 2005 as an instant messaging service in Stellenbosch, and it took a rapid hold within the youth of South Africa. By 2013, MXit had a larger user base in South Africa than Facebook, with 45 million registered users in the country. This user base was growing by 60,000 new registered members per day, and 750 million daily messages were being sent across the MXit network.

MXit had originally been created as a mobile game, but it struggled to find sponsors, and the gaming angle was eventually removed. Heunis explained the evolution of the MXit service saying, “An integral part of the game was communication between players. After several metamorphoses we dropped the game idea and focused only on the communication part – that worked extremely well.”

The MXit application on iPhone

The MXit application on iPhone

When MXit was launched the entire team consisted of Heunis and 7 employees, but the rapid growth of the service attracted attention and further investment. Only 2 years into its existence, MXit received major investment from the Internet giant Naspers. What had been an 8 person company grew to employing 150 people as MXit looked to expand its reach far beyond the confines of South Africa.

Through innovative viral marketing, Heunis secured 500,000 users in Indonesia, and while the core of MXit’s users was still in South Africa, the platform was being used in more than 120 countries by 2011. The speed of MXit’s success and growth was impressive, but Heunis does not like to take all the credit, saying, “Timing was perfect and I had a fantastic team. The word ‘failure’ was never an option.”

Selling up and moving on

At the height of MXit’s popularity, Heunis made a shock decision, and decided to sell the company. Stepping down from his CEO position at the end of 2011, Heunis completed the sale of his company in 2012 to Alan Knott-Craig Jr. The decision was evidently a difficult one to make as Heunis said, “Selling a company that you have started is traumatic. Fact of the matter was, I was extremely tired and burned out, and staying on as CEO was not in the interest of the company.”

Knott-Craig Jr’s company, World of Avatar, did not grow MXit as Heunis might have hoped to see. In fact, in 2015 MXit was closed down, and Heunis expressed his disappointment on Twitter. Heunis tweeted that he regretted being too burnt out to continue at the helm in 2011, but that he truly believes that MXit had “all the ingredients to become a major success story.”

Heunis has said that his motto is “You are the captain of your ship,” and it appears that without its captain, MXit experienced a rapid decline after its sale to World of Avatar. As numbers dwindled the reversal of the company’s fortunes could not be stopped, and what had been Africa’s largest social media network ceased to exist.

Since departing from MXit, Heunis has stayed away from the limelight, and thrown himself into various hobbies including endurance bike races such as the Absa Cape Epic.

While MXit’s sale has ensured that Heunis need never work again, it was never money that motivated him anyway. Heunis has said, “For a true entrepreneur, the satisfaction of creating outweighs the money rewards.”

With that in mind, it would be too soon to say that we have seen the last of Heunis as an entrepreneur, but he says he has no immediate plans to return to the world of technology.

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