Overview:
BlueOrchard Loans for Development 2007-1 (BOLD 2007-1) is a Collateralized Debt Obligation (CDO) that is collateralized with debt from microfinance institutions (MFIs).
Description:
BOLD 2007-1 is a Collateralized Debt Obligation (CDO) closed by BlueOrchard on May 31, 2007, in partnership with Morgan Stanley and FMO. The CDO issued bonds to investors, then the funds are used to issue a portfolio of loans to a diversified group of microfinance institutions (MFIs), which are retail microlenders. The total amount raised was USD 99.1 million, and loans were disbured to 20 MFIs in 11 different countries: Azerbaijan, Bosnia, Cambodia, Colombia, Georgia, Kenya, Mongolia, Montenegro, Nicaragua, Peru, and Russia.. The CDO includes senior bonds A (USD 44 million), senior bonds B (USD 16 million), and subordinated tranches. S&P rates senior bonds A as AA, senior bonds B as BBB, and subordinated tranches are unrated.
Microfinance Information Exchange (MIX) Profile:
http://www.mixmarket.org/funders/bold-2007-1/structure
Organization’s Website:
http://www.blueorchard.com/jahia/Jahia/Products_1/pid/201
Just the Facts:
Year Founded: 2007
Fund Assets (as of day/month/year): USD 111.4 million (as of 31/December/2008)
Assets allocated to MFIs (as of day/month/year): USD 106.7 million (as of 31/December2008)
Area of Operation: global
Number of MFI investments (as of day/month/year): 20 (as of 31/December/2008)
Participant(s)/Backer(s)/Investor(s): Morgan Stanley, FMO
Currency: USD, EUR, local currencies
Instrument Type: Loans and Debt Securities
Investment Horizon: 5 years
Contact Information:
BlueOrchard Investments
32 rue de Malatrex
1201 Geneva, Switzerland
Tel.: +41 22 596 4750
Fax: +41 22 596 4751
infoinvest@blueorchard.com
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Additional Resources:
BlueOrchard Annual Review
http://www.blueorchard.com/jahia/Jahia/pid/324
BlueOrchard and Morgan Stanley’s BOLD 2 obtains FT’s sustainable deal of the year award (June 2008)
http://www.blueorchard.com/jahia/webdav/site/blueorchard/shared/Resource…
BlueOrchard raises 110 million dollars to finance 70,000 micro entrepreneurs. BlueOrchard gains the top S&P rating in microfinance (May 2007)
http://www.blueorchard.com/jahia/webdav/site/blueorchard/shared/Resource…
Launch of BlueOrchard Loans for Development 2007-1 (“BOLD 2”) (May 2007)
http://www.blueorchard.com/jahia/webdav/site/blueorchard/shared/Resource…
Preliminary Ratings Assigned in Groundbreaking Microfinance CDO BlueOrchard (May 2007)
http://www.blueorchard.com/jahia/webdav/site/blueorchard/shared/Resource…
Microfinance As A Structured Finance Asset Class (April 2007)
http://www.blueorchard.com/jahia/webdav/site/blueorchard/shared/Resource…
MEET THE BOSS: Jean-Pierre Klumpp of BlueOrchard Finance (June 2009)
https://www.microcapital.org/?s=bold+2007&x=0&y=0
Authored by Kenny Kline, Research Associate
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