Release date: 5 December 2023
Promoter – Financial Intermediary
CARDANO ASSET MANAGEMENT NVLocation
Description
The operation consists of an equity investment in an investment vehicle that provides senior debt to Financial Inclusion Institutions in Asia and Sub-Saharan Africa to improve access to affordable water, sanitation and hygiene services. The Financial Inclusion Institutions will on-lend to micro, small and medium sized enterprises (MSMEs) to buy, install and improve sanitation and water facilities. As investor in the first loss tranche of the investment vehicle, the EIB will contribute to an acceptable impact, risk and return profile, playing therefore a catalytic role in crowding-in institutional investors at the senior tranche level (i.e. leveraging private investment capital). The investment vehicle's capital will be used to provide affordable loans to MSMEs that invest in safe sanitation and water systems.
Objectives
The aim is to contribute to increase the availability of better and continuous drinking water supply and sanitation services, in particular for low-income people targeted by the Financial Inclusion Institutions.
Sector(s)
- Water, sewerage - Water supply; sewerage, waste management and remediation activities
Proposed EIB finance (Approximate amount)
EUR 12 million
Total cost (Approximate amount)
EUR 250 million
Environmental aspects
The operational guidelines of the investment vehicle will provide for environmental and social due diligence of investee companies according to guidelines acceptable to the EIB.
Procurement
The investment vehicle is expected to comply with the EIB's procurement guidelines.
Status
Approved - 16/10/2024
Disclaimer
Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).