ACCION International’s Gateway Microfinance Investment Vehicles Fund (GMIV) invested in Lok Capital, raising its total resources from USD 12 million to USD 14.5 million, and participated in the recapitalization of AfriCap Microfinance Investment Company, helping raise its total capital from USD 14 million to USD 50 million in its second round of investment.
The Gateway Microfinance Investment Vehicles Fund (GMIV) is an investment fund created by ACCION International in 2007 to support the development of the global microfinance industry.
ACCION International is a private, nonprofit microfinance organization founded in 1961 that specializes in global micro-enterprise loans, business training and other financial services. To date, it works with over 35 microfinance domestic and international lending partners to provide individual and group loans starting from USD 80. Since 1997, its partners’ total loans of USD 12.3 billion have served more than 4.94 million people. In 2006, its partners maintained an active loan portfolio of US 2.03 billion with 122% growth in new clients since the previous year. Its annual report also included year-end assets of USD 51.1 million and net revenue of USD 21.1 million with 2.5 million active international borrowers. Currently led by President and CEO Maria Otero, ACCION International maintains a governance presence on the board of directors of both Lok Capital and AfriCap.
Lok Capital is a private investment fund incorporated in Mauritius in 2006 that pioneers medium and long-term equity investments in Indian microfinance institutions (MFIs). It plans to use its now USD 14.5 million venture fund to make approximately twenty investments over the next four to five years. According to 2006 data from Microfinance Information eXchange (MIX), it currently has one active investment worth USD 375,000. Lok Advisory Services (LAS) provides investment advice to the Fund, and is based in New Delhi. The Lok Capital Group is directed by Rajiv Lall and controlled by the Lok Foundation, a nonprofit US-registered public charity.
AfriCap Microfinance Investment Company is an investment fund co-founded in June 2001 by ACCION and Calmeadow, a Canadian microfinance organization. Incorporated in Mauritius, it operates out of Dakar, Senegal under the direction of Investment Manager Stefan Harpe. AfriCap is the first African private equity fund dedicated to providing venture capital and active governance to the emerging commercial microfinance institutions (MFIs) in Africa. Since its inception, it has invested in 13 African MFIs and transformed into a permanent capital investment company.
By Mary Fu, Research Assistant
Additional Resources:
ACCION International: “ACCION Backs Microfinance Equity Funds in India and Africa”
Africa Investor: “AfriCap closes a $50 million round and creates the largest African microfinance private equity company”
ACCION International: “Equity Funds”
ACCION International: “Where We Work”
ACCION International: “About ACCION”
ACCION International: “Annual Report 2006”
ACCION International: “Management Team”
MIX Market: “Lok Capital Profile”
MIX Market: “2007 Lok Group Overview”
Lok Capital: “Lok Advisory Services”
MIX Market: “AfriCap Profile”
MIX Market: “AfriCap Summary”
AfriCap: “AfriCap Profile”
Similar Posts:
- MICROCAPITAL BRIEF: Semaai Raises Equity from Accion, XA Network, Beenext, Surge for Technology Supporting Farmers, Agricultural MSMEs in Indonesia
- MICROCAPITAL BRIEF: Accion, Sturgeon Lead $6.4m Equity Round for Trukkr, Fintech Serving Trucking SMEs in Pakistan
- MICROCAPITAL BRIEF: Accion Venture Lab, Brick & Mortar Ventures Lead $3.4m Equity Raise for Licify to Expand Vende+ Construction Portal from Colombia to Mexico
- MICROCAPITAL BRIEF: Lidya to Shift from Retail Lending to Providing Fintech Infrastructure
- MICROCAPITAL BRIEF: Baobab+ Borrows $1.3m from Oikocredit to Boost Household Access to Technology, Solar Energy in Rural Côte d’Ivoire
