MICROCAPITAL BRIEF: Triodos Investment Management Loans $1m each to Advans Banque Congo, Microfinance Institution (MFI) Vitas Jordan

Triodos Investment Management, a subsidiary of Netherlands-based Triodos Bank, reportedly has loaned USD 1 million to Advans Banque Congo, a commercial bank, and JOD 705,000 (USD 1 million) to Amman-based microfinance institution (MFI) Vitas Jordan. The money loaned to Advans Banque Congo was provided by Triodos Investment Management’s Fair Share Fund and Microfinance Fund. The funds loaned to Vitas Jordan were provided by the Sustainable Finance Foundation, a Triodos subsidiary that aims to invest in institutions that target the financially underserved in developing nations.

Triodos Investment Management manages funds on behalf of private and institutional investors, including deploying “socially responsible investments” into efforts such as microfinance institutions (MFIs) and sustainable energy projects. As of 2012, Triodos manages 19 funds and has EUR 2.2 billion (USD 2.9 billion) in total assets under management. Vitas Jordan is a for-profit financial institution founded as the Middle East Micro Credit Company (MEMCC) in 1998 to provide loans to micro-, small and medium-sized enterprises (MSMEs). As of September 2013, Vitas Jordan has 15 branches, 24,083 active borrowers and a gross loan portfolio of USD 33.5 million. Advans Banque Congo is a commercial bank that was incorporated in 2008 and provides loans and deposit services to MSMEs. As of November 2013, it has 6 branches, 27,351 clients, an outstanding loan portfolio of EUR 15.2 million (USD 20.8 million) and total voluntary deposits of EUR 5.4 million (USD 7.4 million). It is majority-owned by Advans SA, a Luxembourg-based venture capital investment company that funds institutions in seven countries that finance MSMEs.

By Meraj Husain, Research Associate

About Vitas Jordan

Vitas Jordan is a for-profit microfinance institution (MFI) formerly known as the Middle East Micro Credit Company (MEMCC). It was founded in 1998 to provide loans to micro, small and medium-sized enterprises (MSMEs). As of September 2013, it has 15 branches, 24,083 active borrowers and a gross loan portfolio of USD 33.5 million. Vitas Jordan does not accept deposits.

About Advans Banque Congo

Advans Banque Congo was incorporated in July 2008 and granted a commercial banking license in May 2009. Its four shareholders, Advans SA, Kreditanstalt für Wideraufbau (KfW), the International Finance Corporation and the African Development Bank have provided it with a total of USD 13 million in capital. Advans SA is the majority shareholder with a 50.38 percent share of the capital. As of November 2013, Advans Banque Congo has 6 branches, 27,351 clients, an outstanding loan portfolio of EUR 15.2 million (USD 20.8 million) and total voluntary deposits of EUR 5.4 million (USD 7.4 million).

About Triodos Investment Management

Triodos Investment Management manages funds in a broad range of sectors including financial sector development in developing countries, renewable energy finance and venture capital. As of 2012, Triodos Investment Management manages 19 funds and has EUR 2.2 billion (USD 2.9 billion) in total assets under management. Combined, these funds provide finance to approximately 100 MFIs in approximately 45 countries.

About Advans SA

Launched in 2005, Advans SA SICAR is a venture capital company that is registered in Luxembourg and managed by Horus Development Finance of France. The mission of Advans is to increase access to financial services for micro-, small and medium-sized enterprises (MSMEs) in emerging economies. In addition to equity and debt funding for microfinance institutions (MFIs), Advans provides technical assistance to MSMEs in an effort to assist them in achieving sustainable and profitable operations. As of 2012, the Advans network serves 360,000 loan clients via 95 branches in seven countries: Cambodia, Cameroon, Côte d’Ivoire, Democratic Republic of the Congo, Ghana, Pakistan and Tanzania. As of March 2012, Advans SA held total assets of EUR 33.5 million (USD 44.5 million) and committed capital of EUR 43.6 million (USD 58 million).

Sources and Additional Resources

[1] Triodos Investment Management: “Additions to our Emerging Markets portfolio,” http://www.triodos.com/en/investment-management/who-we-are/news/newsletter-emerging-markets/additions-emergingmarkets-portfolio-jan-20141/

[2] Vitas Group: “Vitas by Numbers,” http://www.vitasgroup.com/summary/vitas-by-numbers/

[3] Advans Group: “Key Figures,” http://www.advansgroup.com/index.php?id=353

[4] Triodos Bank: “Annual Report 2012,” http://report.triodos.com/en/2012/ourgroup/triodosinvestmentmanagement.html?cat=m

MicroCapital, November 16, 2013, “Triodos Investment Management of the Netherlands Sells Stake in Mongolian Tenger Financial Group to Orix, International Finance Corporation (IFC), Mongolyn Alt Group,” https://www.microcapital.org/microcapital-brief-triodos-investment-management-of-the-netherlands-sells-stake-in-mongolian-tenger-financial-group-to-orix-international-finance-corporation-ifc-mongolyn-alt-group/

MicroCapital, June 26, 2013, “Advans SA to Create Tunisian Microfinance Institution Advans Tunisie,” https://www.microcapital.org/microcapital-brief-advans-sa-to-create-tunisian-microfinance-institution-advans-tunisie/

MicroCapital, May 13, 2013, “Triodos Bank Launches Sustainable Pioneer, Sustainable Equity Retail Funds,” https://www.microcapital.org/microcapital-brief-triodos-bank-launches-sustainable-pioneer-sustainable-equity-retail-funds/

MicroCapital Universe Profile: Vitas Jordan https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Vitas+Jordan

MicroCapital Universe Profile: Advans Banque Congo https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Advans+Banque+Congo

MicroCapital Universe Profile: Triodos Investment Management https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Triodos+Investment+Management

MicroCapital Universe Profile: Advans SA https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Advans+SA

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