Global Transport Practice
February 2016
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I – IFC Overview
II – Trends and Outlook for Transport at IFC
Annex 1: IFC’s Process
Annex 2: Sector Highlights
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I – IFC Overview
IFC: Part of the World Bank Group
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IBRD
International Bank for Reconstruction and
Development
IDA
International Development Association
IFC
International Finance Corporation
MIGA
Multilateral Investment and
Guarantee Agency
ICSID
International Center for Settlement of
Investment Disputes
Role:
Client:
Products:
Est. 1945 Est. 1960 Est. 1956 Est. 1988 Est. 1966
To promote institutional, legal and regulatory reform
To promote institutional, legal and regulatory reform
To promote private sector development
To reduce political investment risk
To provide dispute resolution to mitigate non-commercial risks
Governments of member countries with per capita income between $1,025 and $6,055
Governments of poorest countries with per capita income of less than $1,025
Private companies in member countries
Foreign investors in member countries
International investors
- Technical assistance - Loans - Policy Advice
- Technical assistance - Interest Free Loans - Policy Advice
- Equity/Quasi-Equity - Long-term Loans - Risk Management - Advisory Services
- Political Risk Insurance
- Tribunals - Arbitration - Dispute Resolution
Shared Mission: To Promote Economic Development and Reduce Poverty
IFC’s Three Businesses
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Integrated Solutions, Increased Impact
Wholly owned subsidiary of IFC
Private equity fund manager
Invests third-party capital alongside IFC
Firm-level advice
PPP transaction advice
In partnership w/World Bank, advice on broader market development and enabling environment for private sector
Loans
Equity
Trade finance
Syndications
Securitized finance
Risk management
Blended finance
IFC ASSET MANAGEMENT COMPANY
$8.5 bn under mgmt (FY15)
INVESTMENT SERVICES
$50.4 bn portfolio (FY15)
ADVISORY SERVICES
600 projects valued at $1.2 bn (FY15)
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IFC Offers a Wide Range of Financial Products
$3.2bn committed
$7.0bn committed
Senior Debt & Equivalents
Equity
Mezzanine / Quasi Equity
• Senior Debt (corporate finance, project finance) • Fixed/floating rates, US$, Euro and local currencies available • Commercial rates, repayment tailored to project/company needs • Long maturities: 8-20 years, appropriate grace periods • Range of security packages suited to project/country • Mobilization of funds from other lenders and investors, through co-financings,
syndications, underwritings and guarantees
• Subordinated loans • Income participating loans • Convertibles • Other hybrid instruments
• Long-term investor, typically 6-8 year holding period • Not just financial investor, adding to shareholder value • Typically 5-15% shareholding (not normally to exceed 20% of total equity) • InfraVentures (early equity investments)
Over $180 Billion Invested Since 1956 • Largest multilateral source of loan/equity financing for the emerging markets private sector
• Founded in 1956 with 184 member countries
• AAA-rated by S&P and Moody’s
• Equity, quasi-equity, loans, risk management and local currency products
• Takes market risk with no sovereign guarantees
• Promoter of environmental, social, and corporate governance standards
• Resources and know-how of a global development bank with the flexibility of a merchant bank
• Infrastructure and Natural Resources accounted for 29.5% of commitments in FY15
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FY 2015 Investments by Region FY 2015 Highlights Latin
America and the
Caribbean 23%
Sub-Saharan Africa 17% Europe and
Central Asia 15%
East Asia and the Pacific
22%
Middle East and North
Africa 8%
South Asia 13%
World 2%
* Includes 3rd parties
Portfolio $50.4 billion
New Commitments $10.6 billion
Core Mobilization* $7.1 billion
# of Companies 2,033
# of Countries 83
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IFC’s Global Reach stretches to 100 country and regional offices worldwide
3,687 staff of which 59% are outside of Washington, D.C.
IFC Transport Practice
IFC’s committed Transport portfolio
is approximately US$5.5 bn for its own account
IFC is active in all Transport subsectors. Ports account for the largest exposure at 40% of our outstanding portfolio
Latin America/Caribbean (42%) and
Eastern Europe (27%) the largest regions historically
About 90% of portfolio is debt
US$8.6 billion for IFC’s own account & mobilized since 2005
40%
18%
13%
6%
4%
4%
4% 3% 3% 5%
Ports
Airport
Railways
Urban Transport
Roads
Airlines
Canal
Barging
Logistics
Shipping
Transport Commitments by Sub-Sectors (September 2015)
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IFC Transport Practice: Historical Experience
Transport Commitments by Sub-Sectors
FY05-FY15 Big Drivers of the business have
been: Ports (40%) Airports (18%) Railways (13%)
Average Ticket Size has been slowly increasing: US$44 mn since FY05 US$50 mn since FY12 Smallest ticket US$0.2 mn,
largest US$679 mn
Significant Percentage of “Repeat Clients” – 46% of business
0
200
400
600
800
1 000
1 200
1 400
1 600Air TrafficControlCanal
UrbanTransportRoads
Logistics
Barging
Railways
Ports
Airport
Shipping
Airlines
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II – Trends and Outlook in Transport at IFC
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Key Focus Areas:
• World Bank Twin Goals • Eliminate Extreme Poverty • Shared Prosperity
=> Facilitate Trade Linkages • “Cities” Initiative
• Climate Change – Adaptation and Mitigation
Ports
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Recent Trends
Riding the “Landlord” Port and Containerization Waves
Container Industry Concentrating: Both Lines and Terminal Operators Line Alliances Lines developing their own Terminal Arms (APMT, TIL, Terminal Link etc.) APMT / GMTCB Takeover; COSCO / China Shipping Merger, etc
Relentless Focus on Cost Cutting and Efficiency => Bigger Ships, Deeper Ports Excellent relations with Many Key Players – Lines and Port Operators
Outlook
Short / Medium Term: Rounding out LAC – and adapting to the Panama Canal Expansion Developing the Next Generation of Terminals in (West) Africa New possibilities in Liquid Bulk and OSV Bases Developing the Dry Bulk business
Railways
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Recent Trends
Historically Focus was:
Railcar Leasing, especially in the Former Soviet Union Railway Concessions (MRS, RVR, Tanzania Rail, etc)
Outlook
Upstream Engagement: “Mountain to the Coast” Transformational Engagements Mining related projects in Africa Leveraging Government and World Bank Relations
New Railfreight Business Models Freight Concessions (e.g. Pakistan) Open Access Freight Operators (e.g. FSU, India) Intermodal / ICD Terminals (e.g. India)
Railcar Leasing in New Places (e.g. India)
Airports and Roads
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Recent Trends
Historically a Piecemeal Approach Focus on:
Balanced Projects with Robust Concession Structures Strong Economic Returns to the Country (esp. Roads) Reputable Sponsors
Strong Links to Both Global and Regional Players (esp. Airports)
Outlook
Wave of Airport Projects: Madagascar, Gabon, Greece? Possible Airport Recycling: e.g. India maybe later Brazil? Significant Road Pipeline:
Croatia, Philippines, India, Indonesia, Colombia, Romania, etc
More Equity Focus
Mass Transit
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Recent Trends
A Focus of IFC’s “Cities” Initiative Historically Mostly Sub-National (e.g. Metro in Istanbul, Trams in Izmir)
Outlook
Continued Sub-National Mass Transit Projects e.g. Metros
Number of Initiatives to Leverage the Private Sector: LRT in Manila BRT in Colombia O&M Contracts
Non-Concession Sectors: Logistics, Shipping, Airlines
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Recent Trends
Opportunistic Approach
Focus on Niches: Shipping where can Identify Use of Vessel (e.g. River Capable Ships, Barging) Cold Storage Airlines in Special Situations
Conservative Leverage Structures and Ideally Long-Term Contracts
Outlook
Logistics: More Systematic Approach Focus on Defendable Business Models and Change Triggers (e.g. GST) Work with Selected Partners to Develop New Markets (especially Cold
Storage)
Shipping: Work with Experienced, Committed Partners Seek Protected Niches and/or Long Term Charters Barging
Airlines:
Not a Significant Focus, Investments on a Case-by-Case Basis
Annex 1: IFC’s Process
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Overview of International Finance Corporation
IFC is the private arm of the World Bank Group dedicated towards the promotion of private sector participation in emerging countries.
Our vision is that people should have the opportunity to escape poverty and improve their lives.
Our values are excellence, commitment, integrity, and teamwork.
IFC's Purpose is to create opportunity for people to escape poverty and improve their lives by:
• Promoting open and competitive markets in developing countries
• Supporting companies and other private sector partners where there is a gap
• Helping generate productive jobs and deliver essential services to the underserved
• Catalyzing and mobilizing other sources of finance for private enterprise development
To achieve its purpose, IFC offers development-impact solutions through firm-level interventions (direct investments, advisory services, and the IFC Asset Management Company); standard-setting; and
business enabling environment work.
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IFC’s Investment Parameters
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• IFC invests exclusively in for-profit projects and charges market rates for its products and services
Commercially Sound
Market Catalyst
Long-term Horizon
Environmentally & Socially Responsible
Corporate Governance
• IFC generally finances no more than 25-50% of total project cost • Never the largest shareholder, typical stake up to 20% • Typical ticket size $20-50m, but can go to $100m + • Able to mobilize additional debt (B loan program) and equity funds (AMC)
• IFC invests for the medium-to-long term
• Each investment assessed for E&S risks by in-house team of experts, and action plan put in place to mitigate risks
• Increasingly relevant for clients, namely land acquisition, carbon footprint, community buy-in
• Facilitates debt raising (Equator Principles)
• Detailed corporate governance assessment carried out (dedicated internal resources) • Work on governance issues with companies pre-IPO and those already listed • Roster of quality independent directors • Facilitates exit, especially in public markets
•IFC’s total financing (for its own account) must be less than 25% of total company capitalization
•IFC can also mobilize additional financing through:
•B loans from international commercial banks
•Parallel loans from development financial institutions
•Portfolio co-lending
IFC Investment Guidelines
Project Type IFC Investment Greenfield, total cost less than $50 million
Greenfield, total cost more than $50 million
Expansion or rehabilitation
Up to 35% of project cost for IFC’s account
Up to 25% of project cost for IFC’s account
Up to 50% of project cost
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Early Review
Client needs determined
Assessment of project’s impacts and development contributions
Management committee approval
Mandate letter
Negotiation Due Diligence
Assessment of business opportunities and risks
Analysis of environmental and social opportunities and risks
Appraisal
Credit committee approval
Disclosure
Disclosure of environmental and social information
Opportunity for public comment
Monitoring Commitment
and Disbursement
Negotiation and agreement of principal terms
Board approval
Signing of legal documents
Disbursement
Annual review of project performance
We agree on a specific timeline to meet client’s needs
IFC’s Project Cycle
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What Clients Value About IFC
Long-Term Partner Role
Stamp of Approval
Financing Not Readily
Available Elsewhere
Worldwide Presence
Global Expertise and
Knowledge
Affiliation with the World
Bank Group
Ability to Mobilize
Additional Funds
Pricing
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IFC Performance Standards Environmental & Social Standard Setting
1 Assessment and management of environmental and social risks and impacts
2 Labor and working conditions
3 Resource efficiency and pollution prevention
4 Community, health, safety and security
Land acquisition and involuntary resettlement
Biodiversity conservation and sustainable management of living natural resources
Cultural heritage
Indigenous peoples
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• Enables loans with longer tenors
• No withholding tax
• Completes financial package
• Introduces new banking relationships
• IFC’s “stamp of approval”
IFC Syndications Program
• Established in 1957
• Over US$34 billion mobilized from more than 550 financial institutions
• Over 900 projects in more than 100 emerging markets
• Co-financiers from developed, as well as emerging markets, include commercial banks, funds and development finance institutions (DFIs)
• IFC is the Lender of Record May allow lenders to reduce their provisioning
requirements
Overview Benefits to Borrower
Syndications Products
B Loans Managed Co-Lending Portfolio Program Parallel Loans
Type of Investor Commercial Banks Development Finance Institutions & Local Banks
Institutional Investors
Investment Approach Active deal by deal selection
Active deal by deal selection Passive portfolio participation in eligible projects
Investment Strategy Client focus Developmental mandate (DFIs) Pre-agreed investment criteria and portfolio concentration limits
Investment Process Independent credit approval Independent credit approval Full delegation to IFC post mandate
Tenor (average final maturity)
FY12 6 years FY13 8 years
FY12 9 years FY13 10 years
Matching IFC’s A Loan tenors
Documentation Participation Agreement & IFC Loan Agreement per project
Common Terms Agreement & Loan Agreement(s) per project
One Administration Agreement governing the program & IFC Loan Agreement per project
Portfolio Rights Voting Voting Follow IFC’s decisions
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Annex 2: Sector Highlights
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Ports
IFC Port Investments Worldwide
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Total Investments: $3.6 billion since 2005
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• Construction and operation of a new container terminal in the largest port in terms of import and export of containers in Buenaventura, Colombia
• Annual capacity of 268,380 TEUs
• 30-year concession granted from the National Concession Institute of Colombia
• In FY 11, IFC committed US$34 million for its own account and mobilized up to US$117 million in funds from commercial banks as part of a US$220 million project cost
• In FY 14, IFC committed US$20 million for its own account and mobilized up to US$70 million in funds from commercial banks for a US$145 million expansion project
Overview
Project Highlights
• Location: TCBuen’s proximity to the most populous cities provided a competitive advantage
• Development impact: reducing costs of transportation, increasing competition in the market and yielding higher concession revenues to Colombia
TC Buen
BTP Santos
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• Development of a greenfield container terminal within the Port of Santos, Brazil, the largest port in Latin America
• Initial capacity of 1.4 million TEUs and 1.2 million tons of liquid bulk
• 50/50 joint venture between TIL and APM Terminals, container terminal operators with a presence in both developing and developed markets
• In FY 11, IFC committed US$97 million for its own account and mobilized up to US$582 million in funds from commercial banks as part of a US$908 million project cost
• In FY 14, IFC committed US$54 million for its own account for an expansion project
Overview
Project Highlights
• IFC’s largest port project, largest port investment to date and largest syndication ever in Latin America
• Significant positive environmental impact including remediation of an existing landfill at the project site that was used as a waste dump for the Port of Santos as well as domestic garbage for over 50 years (around US$105 million)
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Sample Investments in Ports
Togo
$122,421,000 Senior Loan
Lome Container Terminal
FY 2011
Lender
Amounts and dates shown as of original commitment for IFC’s own account & syndication (B Loans).
Pakistan
Lender
$40,000,000 Senior Loan
Qasim International Container
Terminal I & II FY 2011 & FY 2010
Ukraine
$32,000,000 Senior Loan
HPC Odessa
FY 2012 Lender
Brazil
$140,000,000 Senior Loan
$582,000,000 Syndicated Loan
BTP Santos
FY 2014 & FY 2011
Arranger & Lender
Indonesia
$30,000,000 Senior Loan
Arranger & Lender
$40,000,000 Syndicated Loan
Jakarta Int. Container Terminal
FY 2010
Colombia
Arranger & Lender
$54,000,000 Senior & Subordinated Loan
Terminal de Contenedores de Buenaventura
FY 2014 & FY 2011
$187,000,000 Syndicated Loan
Mexico
$100,000,000 Senior Loan
$200,000,000 Syndicated Loan
Port of Lazaro Cardenas
FY 2014 Arranger & Lender
Guatemala
Arranger & Lender
$35,000,000 Senior Loan
$26,000,000 MCPP
$10,000,000 Equity
Terminal de Contenedores Quetzal
FY 2014
Haiti
$12,000,000 Senior Loan
$12,000,000 Sindycated Loan
$3,000,000 Equity
Port Lafito
FY 2015 Arranger, Lender & Investor
Turkey
$75,000,000 Senior Loan
Asyaport FY 2013 Lender
Peru
$75,000,000 Senior Loan
$142,000,000 Sindycated Loan
Callao Norte Port FY 2013
Arranger & Lender
Turkey
$75,000,000 Senior Loan
Mersin Port
FY 2014
Lender
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Airports
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IFC Airport Investments Worldwide
Total Investments: $1.6 billion since 2005
Phnom Penh (CAMBODIA)
Sihanoukville (CAMBODIA)
Siem Reap (CAMBODIA)
Manila (PHILIPPINES)
Zagreb (CROATIA)
Tbilisi (GEORGIA)
Pulkovo (RUSSIA)
Amman (JORDAN) Enfidha
(TUNISIA)
Montego Bay (JAMAICA)
Santo Domingo (DOMINICAN REPUBLIC)
San Jose (COSTA RICA)
Lima (PERU)
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• Queen Alia has been Jordan’s principal domestic and international airport since 1983, accounting for more than 97% of the country’s air traffic
• In 2007, the Government awarded a 25-year concession to Airport International Group P.S.C (AIG), which included Aéroports de Paris Management, among other Sponsors
• In FY 08, IFC committed US$120 million for its own account and mobilized up to US$160 million in funds from commercial banks as part of a project cost of US$675 million to rehabilitate/expand the airport
• In FY 14, IFC committed US$21 million for its own account and mobilized up to US$48 million in funds from commercial banks
Overview
Project Highlights
• First successful airport public-private partnership (PPP) project in Jordan and the Middle East and the largest private sector investment in Jordan to date
• Expected to generate more than US$1 billion in foreign direct investment, lead to the creation of 23,000 new jobs over its lifespan, and help promote the country as a regional economic and tourist destination
Queen Alia
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• Pulkovo airport, located in St Petersburg, is the fourth largest airport in the Russian Federation
• In 2009, the Government awarded a 30-year concession to Northern Capital Gateway, a consortium comprising of VTB Capital, Fraport and Horizon Air investments
• The project cost totaled approximately €1.1 billion. The financing plan consisted of a financing package of €715 million provided by development institutions and private commercial banks; and the remainder provided through equity contributions
• In FY 10, IFC committed €70 million for its own account. In FY 11, along with EBRD, IFC helped syndicate €200 million
Overview
Project Highlights
• This was Russia’s first airport PPP; and as opposed to other PPPs it did not rely on debt guarantees from the Russian government to secure the financing
Pulkovo Airport
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$20,000,000 Equity
Lima JCIAirport
FY 2007 Investor
Peru Georgia
$27,000,000 Loan
Tbilisi Airport
FY 2006
Lender
Cambodia
$27,500,000 Loan
Cambodia Airport I & II
FY 2007 & FY 2004
Lender
Dominican Republic
Lender & Arranger
$60,000,000 Loan
$15,000,000 Syndicated Loan
Aerodom I & II FY 2006 & FY 2005
Jamaica
Lender & Arranger
$45,000,000 Loan
Montego Bay I, II & III FY 2013 & FY 2009 & FY 2006
$45,000,000 Syndicated Loan
Jordan
$120,000,000 Loan
Lender & Arranger
Queen Alia Airport FY 2014 & FY 2008
$160,000,000 Syndicated Loan
Russia
€70,000,000 Loan
Lender & Arranger
Pulkovo Airport FY 2011 & FY 2010
€100,000,000 Syndicated Loan
Tunisia
Lender-Arranger
TAV-Tunisia FY 2008
€257,500,000 Syndicated Loan
€132,500,000 Loan
Sample Investments in Airports
Dominican Republic
Lender
$20,000,000 Senior Loan
Punta Cana Airport FY 2010
Croatia
$45,000,000 Senior Loan
$104,000,000 Syndicated Loan $16,000,000
Equity
Zagreb Airport FY 2014
Lender, Arranger & Investor
Amounts and dates shown as of original commitment for IFC’s own account & syndication (B Loans).
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Roads
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• The project consisted of the extension of Transjamaican Highway 2000 to connect the capital, Kingston, in the south-east of Jamaica with Mandeville in the heart of the country, and refinancing of the existing bonds that were put in place for the financing of the first phase of the construction
• A 35-year BOT concession was given for the design, finance, construction, operation and maintenance of the tolled motorway
• The project was developed on a design, build, operate and transfer basis by Bouygues Travaux Publics
• In FY 11, IFC committed US$59 million for its own account, including US$4.6 million of equity, as part of a project cost of US$285 million
Overview
Project Highlights
• IFC provided long-term financing in times of international financial crisis when capital markets were closed
• IF ensured that the project met best international standards in terms of E&S and resettlement policies
Transjamaican Highway
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• Dakar-Diamniadio connects Dakar to its suburbs and the Senegalese hinterland
• The Government awarded a 30-year concession to build and operate the key infrastructure
• In FY 11, IFC committed €24 million for its own account including a subordinated tranche of €10 million to strengthen the capital structure to support a project cost of €230 million
Overview
Project Highlights
• Groundbreaking project: the project was the first greenfield toll road PPP in West Africa
• Strong sponsor: the Sponsor, Eiffage, is one of the world’s largest construction and concession companies
Dakar-Diamniadio Toll Road
Philippines
$46,000,000 Senior Loan
Manila North Tollways
FY 2001 Lender
Peru
$18,000,000 Senior Loan
Norvial FY 2003 Lender
Montenegro
€10,150,000 Senior Loan
Podgorica Bypass
FY 2011 Lender
Jamaica
$58,172,000 Senior Loan & Equity
Investment
TJH FY 2011
Lender & Investor
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Senegal
€25,000,000 Senior & Subordinated Loans
Senac
FY 2011 Lender
Mexico
Lender
MXN 130,500,000 (equiv $12,427,000) Partial Credit Guarantee
Irapuato-Piedad
FY 2007
Brazil
Arranger & Lender
$35,000,000 Senior Loan
$31,000,000 Syndicated Loans
Auto Ban FY 2006
Panama
$35,000,000 Senior Loan
Lender & Arranger
Corredor Sur FY 2000
$35,000,000 Syndicated Loans
Sample Investments in Roads
Amounts and dates shown as of original commitment for IFC’s own account & syndication (B Loans).
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Airlines
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• Mexican low cost carrier established in 2006
• Operational/management expertise from Taca Airlines
• Initial focus within Mexico with 4 aircrafts
• Volaris now operates over 31 aircrafts servicing routes within Mexico to some cities in the US
• In FY 05, IFC committed US$30 million pre-delivery financing and a US$10 million corporate loan
Overview
Project Highlights
• The airline provided discounted fares in a market historically marked by limited competition and high fares
• The airline helped make air transportation accessible for a larger share of the Mexican population
• Volaris helped promote Toluca’s International Airport as a secondary airport for Mexico City (the one in Mexico City was becoming increasingly congested)
Volaris
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• JET Airways was established in 1993
• It has become India’s largest domestic airline with a young and modern fleet
• In FY 02, IFC provided US$15 million in convertible preferred shares to partly finance the company’s expansion program
• IFC’s financing helped to secure US EXIM funding
Overview
Project Highlights
• Groundbreaking project: IFC’s first investment in the airline sector worldwide
• Award winning: repeatedly voted “Best Domestic Airline” in India (several national and international awards)
• Continuously growing: the airline has continuously expanded its services connecting 24 international destinations and operating flights to and from 52 destinations in India
Jet Airways
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Chile
$30,000,000 Stand-by Revolving Credit
Facility
LAN FY 2004 Lender
$30,000,000 Pre-Delivery Financing
TACA
FY 2005
Lender
El Salvador Mexico
$40,000,000 Pre-Delivery Financing &
Corporate Loan
Volaris FY 2005 Lender
Africa Region
Lender
$25,000,000 Corporate Loan
AKFED Aviation
FY 2011
Colombia
Lender
$50,000,000 Corporate Loan
Avianca FY 2009
Nepal
$7,000,000 Senior Loan
Buddha Air II
FY 2013 Lender
Kenya
Lender & Investor
$15,000,000 Pre-Delivery Financing
$25,000,000 Equity
Kenya Airways
FY 2012
India
Investor
$15,000,000 Quasi-Equity
Jet Airways
FY 2002
Sample Investments in Airlines
Amounts and dates shown as of original commitment for IFC’s own account & syndication (B Loans).
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Logistics
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• In October 2014, IFC invested in Vix Logistica, owned by the Chieppe family and based in the state of Espirito Santo, Brazil
• IFC invested equity of R$200 million (US$76 million), of which IFC AMC invested R$50 million (US$19 million), constituting a 14.1% ownership
• Vix Logistica operates four distinct business units: Dedicated logistics: transportation, storage, handling and
distribution of products according to the specific demands of each industry and client; 34% of total revenues
Automotive logistics: new vehicle freight transportation for auto manufacturers to point of sale; 29% of revenues
Fleet service: corporate fleet vehicle leasing and / or management with or without a supply of drivers; 26% of revenues
Passenger transport: corporate employee transportation services and comprising over 450 vehicles; 11% of revenues
Overview
Project Highlights
• IFC invested to support the growth of the company in line with IFC strategy to focus on infrastructure development in Brazil, relieve logistics bottlenecks, and help increasing the competitiveness of Brazilian exports by enhancing productivity
Vix Logistica
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• Snowman Logistics is one of the leading integrated cold chain logistics service providers in India and operates a network of temperature controlled warehouses and refrigerated trucks
• IFC has made several investments in Snowman for supporting the expansion of a fast growing private sector provider of temperature controlled logistics
• IFC investment is in line with the strategy of supporting the sustainable development of this sector in India and improving the availability, quality and efficiency of services with a view to reducing the high levels of food wastage
• IFC has made several investments in Snowman to support the expansion of a fast growing private sector provider of temperature controlled logistics:
• 2009: IFC invested US$5.4 million for a 20% equity stake • 2012: IFC invested US6.6 million in an 8 year corporate loan • 2013: IFC invested US$2.8 million in an 8 year corporate loan
Overview
Project Highlights
• IFC worked with the company to fine tune and refocus its business plan to expand capacity
• IFC investment provided the first round of private institutional capital in a small but market leading company operating in a nascent but a fast growing sector, which signaled confidence in the company’s management and helped in future fund raising
• Since IFC’s investment, Snowman has grown from a storage capacity of 9,142 pallets (2007) to 79,500 pallets (Sept 2014), and is expanding to 85,000 pallets by March 2015
Snowman Logistics
Global Transport Title Location Tel E-mail
Ian Twinn Global Manager Washington, DC +1 202 473 8650 [email protected]
Surinder Chawla Chief Investment Officer Washington, DC +1 202 473 5252 [email protected]
Herbert Lai Chief Investment Officer Washington, DC +1 202 458 2595 [email protected]
Harsh Gupta Principal Investment Officer Washington, DC +1 202 458 4065 [email protected]
Andre Van Hoeck Principal Investment Officer Washington, DC +1 202 458 1286 [email protected]
Navaid Qureshi Principal Industry Specialist Washington, DC +1 202 458 8701 [email protected]
Juan Samos Tie Principal Industry Specialist Washington, DC +1 202 458 8367 [email protected]
Ahmed Shaukat Consultant Washington, DC +1 202 458 4743 [email protected]
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IFC Transport Contacts
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