Standard Chartered Private Equity Limited has announced that it has invested US$47.5 million to acquire a minority stake in Seven Energy, a Nigerian gas exploration and development company. Seven Energy was formed in 2007 and is focused on the provision of gas to leading industrial firms in Nigeria.

Standard Chartered's investment will help develop Seven Energy's business and strengthen its competitive positioning. The deployment of funds will provide a much needed stimulus for the company to cater to Nigeria's growing energy needs. In particular, Standard Chartered envisages that in the medium term, the investment will back the company's existing management team in its drive as a pioneer and consolidator within Nigeria’s gas industry.

Commenting on the investment, Phillip Ihenacho, chairman of Seven Energy said: "The capital will be used to develop the business and provide essential infrastructure to facilitate delivery to domestic industrial users in south-eastern Nigeria. The support from Standard Chartered validates our strategy and strengthens our longer term competitive positioning."

Marlon Chigwende, head of Standard Chartered's African Private Equity business said: "Seven has a strong technical and commercial team, combined with a long term strategy. We will continue to invest equity capital in strong businesses and management teams across the African continent. After a year of turmoil in the international debt markets, we see a clear need for committed equity to support growth."

According to Dr Yemi Osindero, head of Standard Chartered Nigeria's private equity business: "This will be an active year for us in Nigeria. We have long term equity capital available to assist good companies that want to accelerate growth. We also have a knowledgeable team to assist the management and shareholders of our investee companies to achieve their objectives." Dr Osindero will join the board of Seven Energy.