E: contact@africafc.org T: +234 279 9600 AFC A: 3A Osborne Road, Ikoyi, Lagos, Nigeria
AFRICA FINANCE CORPORATION BUILDING THE NEW AFRICA
Published by Henley Media Group Ltd in association with the Commonwealth Secretariat
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AFRICA FINANCE CORPORATION (AFC) Africa Finance Corporation (AFC) is a private sector led international organisation established by treaty between independent sovereign states, domiciled in Nigeria with activities across Continental Africa. Current membership includes Nigeria, Ghana, Guinea Bissau, Guinea, Sierra Leone, The Gambia and Liberia.
Connecting Africa Bridging the Divide
AFC was established in 2007 to fill a void in infrastructure project structuring expertise and available risk capital with US$1 billion in fully paid-in equity capital. The Corporation offers a unique value proposition as an Africa-focused infrastructure financing institution providing competitive products and services across the complimentary areas of; principal investing, financial advisory services, project development and technical advisory. Our shareholders include the Central Bank of Nigeria (CBN), various African financial institutions and other industrial and corporate shareholders. The AFC Board of Directors is chaired by the internationally respected investment banker, Bayo Ogunlesi, who has several decades of experience financing infrastructure assets globally. The Corporation’s management team is lead by its President & CEO, Mr Andrew Alli. The CBN provided the anchor capital for the start-up of the corporation. The Bank’s current shareholding of just over 42 per cent will decrease as other African shareholders join the corporation. African financial institutions currently make up 48 per cent of our shareholders, with African industrials and corporations holding close to 10 per cent. Each of these groups contributes significantly to the makeup and operations of the institution. The public sector shareholding gives AFC important access to government, which is crucial in Africa for sustainable investments in infrastructure. Having African financial institutions so actively involved promotes synergy between African banks, broadens our reach and strengthens local support and partnership. The African industrials and corporations on 5
Main One Cable Landing Points - Phase 1
E: contact@africafc.org T: +234 279 9600
The Corporation’s business is that of providing principle investment capital in infrastructure projects or companies operating in five target sectors (Power, Oil & Gas, Transport, Telecommunications, Heavy Industry) deploying all our financial instruments (debt, equity, mezzanine and guarantees), across continental Africa. The Corporation also uses its liquidity to support trade finance transactions in African countries. Since inception, AFC has been actively involved in originating, structuring and executing a portfolio of projects and transactions in the African infrastructure space, with over US$733 million in gross debt and equity investment approvals. AFC is a supranational financial institution, and is self regulated but adheres to international best practices including ‘inter alia’ capital and leverage tests. In 2010, our Basel Tier 1 capital ratio was well in excess of 100 per cent of the required minimum. Maintaining a sound financial condition is vital if we are to be effective in meeting the needs of our clients. Among the roles we play for our largely institutional client base are transaction advisor, project developer, financier, investor and co-investor. Today, AFC is increasingly being seen as a partner of choice for infrastructure investment across the continent. Among other projects financed by AFC a number are noteworthy: AFC is the largest equity investor in the US$240 million African-led Main One Cable System. This is an undersea fibre optic cable that has increased broadband capacity along the west coast of Africa tenfold, providing a major link to the ‘information super-highway’, enhancing West Africa’s connection to Europe and the rest of the world. 6
AFC A: 3A Osborne Road, Ikoyi, Lagos, Nigeria
our board help integrate local corporate experience, and strengthens support from leading local sponsors.
PROJECT PORTFOLIO WEST AFRICA - Ghana, Cape Verde, Nigeria In Ghana, AFC is the lead investor in conjunction with Cenpower Generation Company Limited (Cenpower), which is implementing the US$450 million Kpone IPP project – a 340 megawatt combined cycle gas turbine power plant in Tema, Ghana. AFC is also the main African participant in a seven-year US$750 million syndicated reserve base lending facility to develop the landmark Ghanaian Jubilee Oil Field - West Africa’s largest offshore deepwater find in over a decade. In Cape Verde, AFC has underscored its commitment to pioneering renewable energy investments on the continent with a lead investor role in a US$90 million, 28 megawatt wind farm IPP under development This public-private partnership with the Government of Cape Verde entails the development, construction, ownership and operation of 30 wind turbines on four of the seven inhabited islands of the mid- Atlantic archipelago. In Nigeria, AFC has invested in the international oil and gas exploration and production company, Seven Energy Limited, which is playing a pioneering role in developing alternative sources of gas for domestic utilisation in the Nigerian power and manufacturing sector.
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E: contact@africafc.org
PROJECT PORTFOLIO SOUTHERN AFRICA
T: +234 279 9600
The Bakenwa toll road route has been designed to form part of the Maputo development corridor, an East-West axis connecting South Africa’s industrial and commercial heartland of the Witwatersrand, with its nearest deep water port in Maputo, Mozambique. The industrial corridor was conceived to stimulate agriculture, manufacturing, mining and tourism. The Bakenwa project is a combination of urban tolling in the suburbs of Pretoria and long haul intercity tolling.
AFC - Building the New Africa
AFC A: 3A Osborne Road, Ikoyi, Lagos, Nigeria
Agreement with the South African National Roads Agency Limited (SANRAL) to design, build, finance, operate and maintain the Platinum Toll Highway in 2000. The highway consists of a 95km section of the N1 running from Pretoria (Tshwane) northwards to the town of Bela Bela and a 290km section of the N4 running from Pretoria westwards to the Botswana border. AFC co-invested with Africa Infrastructure Investment Managers (AIIM) in an equity investment to part-fund the acquisition of Infrastructure Concession South Africa (Pty) Ltd, a special purpose vehicle established to hold 50 per cent of Bakwena Platinum Corridor Concession (Pty) Ltd, a toll road concession company that operates the Bakwena Highway.
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AFRICA FINANCE CORPORATION
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