AFC- FMO PROJECT DEVELOPMENT
Status: Approved investmentWhy disclosure?
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In case of questions
In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
Africa Finance Corporation (AFC) is an African multilateral financial institution established in 2007 to help address Africa’s infrastructure needs while seeking a competitive return on capital for its shareholders. Principal shareholders are the Central Bank of Nigeria (42.5%), seven leading Nigerian Banks (43.7%), and several leading Nigerian corporates. The current AFC member states, in which AFC has preferential credit status, are Nigeria, Ghana, Guinea-Bissau, Guinea, Liberia, Sierra Leone, Chad and the Gambia.
What is our funding objective?
Through the Infrastructure Development Fund, FMO is funding a framework Joint Venture Agreement with AFC for the establishment of a USD 15 million Infrastructure Project Development Facility (PDF or facility). FMO and AFC will each commit USD 7.5 million, with the purpose of financing AFC-managed early-stage development projects in the field of transport, power, water, oil and gas downstream/midstream, agribusiness and social infrastructure. Eligible projects, complying with FMO investment criteria, are expected to have a strong chance of reaching bankability and financial close.
Why do we fund this investment?
This investment creates an efficient partnership opportunity with AFC, a reputable, dynamic and financially strong pan-African multilateral financial institution with a dedicated and experienced team for developing infrastructure projects. The envisaged cooperation will support an efficient and risk diversified approach to the target market of the Infastructure Development Fund. AFC and FMO will have aligned interests, and early stage involvement will secure important spin-offs for playing lead roles in structuring and financing infrastructure projects. AFC's sound risk management policies (governance, financial, E&S, operations control) furthermore give confidence and comfort.
More investments
| Date | Total FMO financing |
|---|---|
| 12/21/2020 | USD 0.10 MLN |
| 1/13/2021 | USD 1.50 MLN |
| 4/28/2020 | USD 0.75 MLN |
- Website customer/investment
- http://www.africafc.org
- Region
- Africa
- Country
- Africa
- Sector
- Financial Institutions
- Effective date
- 11/21/2012
- Total FMO financing
- USD 7.50 MLN
- Funding
- Building Prospects
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Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - B