The Overseas Private Investment Corporation (OPIC), a development finance institution backed by the US government, recently invested USD 250 million through a senior debt facility in Bayport Management Limited, Mauritius-based network of microfinance institutions (MFIs) [1].
The loan agreement states that Bayport will use the capital supplied by OPIC to fund growth in Botswana, Colombia, Ghana, Mexico, Mozambique, South Africa, Tanzania, Uganda and Zambia by developing a broader spectrum of financial solutions and a new technology platform.
“We regard the OPIC funding as a way to help more people start businesses, educate themselves and their children, and invest in their futures,” said Stuart Stone, Bayport co-founder and joint CEO. “To us, the funding signifies an endorsement of both Bayport’s strategy and the US’s commitment to empowering developing countries to design their own solutions and growth trajectories.”
As of September 2014, OPIC reported total assets of USD 8.9 billion. As of September 2015, Bayport reported total assets of USD 1 billion, return on assets of 3.5 percent and return on equity of 17 percent. As of December 2015, BML serves 558,000 customers through 420 branches.
By Kevin van den Brink, Research Associate
About Overseas Private Investment Corporation (OPIC)
The Overseas Private Investment Corporation (OPIC) is an agency of the US government that was established in 1971 as a development finance institution. OPIC works with private-sector firms to identify opportunities in emerging markets and create an enabling environment for private enterprise in developing countries. OPIC provides financing through direct loans as well as guarantees, political risk insurance and investment funds. As of September 2014, OPIC reported total assets of USD 8.9 billion.
About Bayport Management Ltd
Bayport Management Limited is a holding company that was founded in 2001 in Mauritius. Bayport offers financial services to underbanked and unbanked individuals via subsidiaries in Botswana, Colombia, Ghana, Mozambique, Mexico, South Africa, Tanzania, Uganda and Zambia. As of September 2015, BML reported total assets of USD 1 billion, return on assets of 3.5 percent and return on equity of 17 percent. As of December 2015, BML serves 558,000 customers through 420 branches.
Sources and Additional Resources
[1] Nasdaq GlobeNewswire, News, “Bayport Management Ltd: OPIC enters into $250 million partnership with Bayport”
MicroCapital Universe Profile: Overseas Private Investment Corporation (OPIC)
MicroCapital Universe Profile: Bayport Management Limited
Do you know that MicroCapital publishes the MicroCapital Monitor newspaper each month? Find out more at https://www.microcapital.org/products-page/
Similar Posts:
- MICROCAPITAL BRIEF: DAI’s MicroVest Loans $4m to Bayport Colombia, Payroll Lender to Public Sector Workers
- MICROCAPITAL BRIEF: Access Bank Botswana Borrows $20m from OPEC Fund for MSMEs, 30% Earmarked for Women
- MICROCAPITAL BRIEF: OPEC Fund Lending $22m to Raiffeisen Bank for SMEs in Albania
- MICROCAPITAL BRIEF: Impact Asset Management’s Dual Return Vision Microfinance Funds Issue Loans to MFIs in Ecuador, Georgia, Kyrgyzstan, Paraguay
- MICROCAPITAL BRIEF: Enabling Qapital Loans $10m to AccessBank for Microfinance, SME Lending in Azerbaijan
