The Microfinance Capital Markets Newsletter of the Consultative Group to Assist the Poor (CGAP) and the MIX, the microfinance information clearinghouse, reported responsAbility Microfinanz-Fonds, a Luxembourg-based fund, has granted a loan of USD 219,997 to Fundación CAMPO, a Latin America microfinance institution (MFI) and a loan of USD 733,326 to another Latin America MFI, COOPROGRESO.
Category: Deals
MICROCAPITAL STORY: Kinnevik Invests $14m in African Microfinance Institution Bayport Financial Services
Investment AB Kinnevik, a Stockholm-based international investment firm, announced that it has invested USD 14 million in the African microfinance institution (MFI) Bayport Financial Services. The financing is provided as a combination of debt and equity.
PRESS RELEASE: Sweden’s Kinnevik Invests $14m in African Microfinance Institution Bayport
Source: Investment AB Kinnevik.
Press release available here.
MICROCAPITAL STORY: responsAbility Global Microfinance Fund of Switzerland Lends $500k to Microfinance Institution Thaneakea Phum (Cambodia) LTD and $4m to Microfinance Institution PRASAC MFI LTD
The Microfinance Capital Markets Newsletter of the Consultative Group to Assist the Poor (CGAP) and the MIX, the microfinance information clearinghouse, reported responsAbility Global Microfinance Fund, a Luxembourg-based fund, has issued a loan of USD 500,000 to microfinance institution (MFI) Thaneakea Phum (Cambodia) Ltd and a loan of USD 4 million to PRASAC MFI Ltd.
MICROCAPITAL STORY: Oikocredit of the Netherlands Lends $1.3m to Eastern Europe Microfinance Institution PRIZMA and $2.1m to East Asia Microfinance Institution Cambodian Entrepreneur Building Limited
The Microfinance Capital Markets Newsletter of the Consultative Group to Assist the Poor (CGAP) and the MIX, the microfinance information clearinghouse, reported Oikocredit, a co-operative financial development institution in the Netherlands, has issued a loan of USD 1.3 million to PRIZMA, an Eastern Europe microfinance institution (MFI), and issued another loan of USD 2.1 million to another MFI, Cambodian Entrepreneur Building Limited (CEB).
MICROCAPITAL STORY: Legatum Invests $8.4m in Mumbai-based Microfinance Investment Consultant, Intellecap
Legatum Capital, a private firm that invests in global capital markets and social development initiatives, announced that it has invested USD 8.4 million (INR 34 crore or 340 million) in Intellecap, a company based out of Mumbai and Hyderabad, India which provides business advisory services to investors and organizations seeking both financial and social returns on investments. Among the services offered by Intellecap is Intellecash, a microfinance best practices franchise package that, according to the website, provides franchisees “with the information, systems, and processes that are required to start and manage profitable microfinance operations.” This is India’s first microfinance franchising initiative.
MICROCAPITAL STORY: MicroCredit Enterprises Issues $1.1m in Loans to Microfinance Institutions EDPYME Alternativa of Peru and Tchuma Credit Cooperative of Mozambique
The Microfinance Capital Markets Newsletter of the Consultative Group to Assist the Poor (CGAP) and the MIX, the microfinance information clearinghouse, reported MicroCredit Enteprises, a microfinance investment firm based in Sacramento, California, has issued two loans totaling over USD 1.1 million to two separate microfinance institutions (MFIs). EDPYME Alternativa of Peru was granted a loan of USD 700,000 and Tchuma of Mozambique received USD 400,000.
MICROCAPITAL STORY: Indian Financial Inclusion Firm, A.Little.World, Offers Mobile Microfinance Banking and Draws Big Investors: Enam Financial and Legatum Capital
Enam Financial, a leading Indian financial service provider, has picked up a ten percent stake in A.Little.World, a company which integrates a microfinance model with a new multi-bank payment system in order to bring mainstream banking capabilities to the large population of un-banked rural Indians. The amount of investment was not disclosed.
MICROCAPITAL STORY: DOEN Foundation Approves $200k Grant to Help Launch and the International Association of Microfinance Investors (IAMFI)
The DOEN Foundation, the Dutch charitable fund and co-founder of microfinance investment firm Triodos-Doen Foundation, will provide a USD 200,000 grant to aid the establishment of the International Association of Microfinance Investors (IAMFI), according to Program Manager of Financial Sector Development at DOEN Jeroen Loots. The IAMFI is an organization that will seek to increase investment in microfinance from the private sector by disseminating credible industry data, drawing responsible investors, establishing best practices, and exploring opportunities to influence public policy.
MICROCAPITAL STORY: DOEN Foundation Approves $300k Grant to Microfinance Network Kiva Microfunds (Kiva.org)
The DOEN Foundation, an Amsterdam-based charitable organization which supports numerous microfinance and entrepreneurial projects, has approved a grant totaling USD 300,000 to Kiva Microfunds for further development of the organization, according to Jeroen Loots, Program Manager of Financial Sector Development at DOEN. Kiva is the first non-profit organization to allow microfinance institutions (MFIs) to raise interest-free capital directly from social investors via the Internet. Individual lenders can provide funding in increments as small as USD 25 and receive repayment of the principal at the end of the loan term, which typically runs between six and 12 months. Repayment rate on loans stands at 99.8 percent.
MICROCAPITAL STORY: ResponsAbility Global Microfinance Fund of Switzerland Lends over USD 2.1 Million to Fondesurco, Fundación ESPOIR and LOKMicro
The Microfinance Capital Markets Newsletter of the Consultative Group to Assist the Poor (CGAP) and the MIX, the microfinance information clearinghouse, reported responsAbility Global Microfinance Fund, a Luxembourg-based fund, has booked a series of loans totaling over USD 2.1 million to three microfinance institutions (MFIs). Fondo de Desarrollo Regional (Fondesurco) and Fundación ESPOIR, two Latin American MFIs, borrowed USD 200,000 each. LOKMicro, a MFI based in Eastern Europe, received a loan of approximately USD 1.7 million. The three separate transactions occurred in August of this year.
PAPER WRAP-UP: Microfinance: An Emerging Asset Class for Equity and Debt Investors, by Marco Coppoolse
By Marco Coppoolse. A White Paper Published by Microcapital in August 2007. 10 pages. Available at www.microcapital.org/downloads/whitepapers/Emerging.pdf
Mr Coppoolse supports the nascent microfinance asset class in two ways with his whitepaper, which was published by MicroCapital today. First he shows the strength and potential of the sector with some innovative research on nine of the leading MFIs (microfinance institutions) in the world. In the process he introduces a new performance indicator, “comparable return on equity” (CRoE) to be used alongside current indicators to help advise potential equity and debt investors on their microfinance investment decisions.
The conclusions are that the industry show high growth and high returns on a global basis, is still underleveraged, has high expense ratios, has good asset quality and has returns of a global nature that show no geographic bias.
PRESS RELEASE: PlaNet Finance distributes "Octopus MicroFinance," An Open Source Management Software for Microfiance Institutions
Source: PlaNet Finance
Article available here.
PlaNet Finance and OCTO Technology announce their partnership in the distribution of Octopus MicroFinance Suite (OMFS), free and integrated management software for young, expanding Microfinance Institutions (MFIs).
MICROCAPITAL STORY: The Government of Germany to Facilitate a EUR 9.4 million Investment through Bulgaria’s Procredit Bank to Benefit the Development of Small and Medium Sized Enterprises
Procredit Bulgaria, a microfinance bank, part of the Procredit Bank Group, is to distribute a consortium of loans and grants received by the German Development Bank, in an effort to expand the growth of small and medium sized enterprises (SMEs) within the Eastern European state. The breakdown of the investment includes a EUR 4 million loan agreement, a grant of EUR 5.1 million, and an additional EUR 290,000 in subsidies, for a total of EUR 9.4 million.
NEWS WIRE: US Firm Working on Micro Islamic Venture Funds
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NEWS WIRE: Microfinance Information Exchange and the Argentinean Microfinance Network RADIM Sign Strategic Partnership Agreement
MICROCAPITAL STORY: United Nations to Implement USD 4 million Microfinance Project in Malawi
The United Nations Development Program (UNDP) and United Nations Capital Development Fund (UNCDF) are each contributing USD 2 million into FIMA, the Financial Inclusion in Malawi Project, an initiative to increase the outreach of financial services within the low-income population.
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