MICROCAPITAL BRIEF: TriLinc Nets $18m from BlueOrchard to Lend to SMEs Via Global Sustainable Income Fund II

Through its TriLinc Global Sustainable Income Fund II (TGSIF II), US-based TriLinc Global is slated to invest USD 18 million raised by BlueOrchard Impact Investment Managers, a member of the UK-based Schroders Group. The funding is aimed at small and medium-sized enterprises (SMEs) particularly in the agriculture, infrastructure and manufacturing sectors. TriLinc invests in developing countries, seeking both a “competitive return and measurable impact” in terms of social and environmental indicators. The company does this primarily by investing in SMEs through collateralized debt instruments. In addition to TGSIF II, a debt fund, Trilinc manages the TriLinc Global Impact Fund II. As of December 2020, TriLinc had total assets valued at USD 368 million.

BlueOrchard was founded in 2001 and had seven active funds as of 2020. The firm has invested approximately USD 8 billion in 562 microfinance institutions and other impact-oriented organizations in 90 emerging markets since its inception through 2020. This includes USD 1 billion deployed in education and health.

Schroders is an investment firm “channelling capital into sustainable and durable businesses” with the goal of effecting “positive change in the world.” As of June 2021, the group reports USD 820 billion in assets under management.

By Divya Deshmukh, Research Associate

Sources and Additional Resources

Business Wire press release
https://www.businesswire.com/news/home/20210901005255/en

TriLinc homepage
https://www.trilincglobal.com/

TGSIF II fact sheet
https://www.trilincglobal.com/tgsif-ii-fact-sheet/

TriLinc annual report
https://secureservercdn.net/50.62.194.30/80q.c71.myftpupload.com/wp-content/uploads/2021/04/2020-Audited-Financial-Statements-website.pdf

BlueOrchard homepage
https://www.blueorchard.com/

Schroders Group website
https://www.schroders.com/

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