FMO is the Government backed development finance institution of the Netherlands and is a shareholder in Aldwych International Ltd. FMO supports the private sector in emerging markets in Africa, Asia, Latin America and Central and Eastern Europe. This is achieved through loans, participations, guarantees and other investment promotion activities. The goal is to contribute to the structural and sustainable economic growth in these countries and, together with the private sector, obtain appropriate returns. A key area for FMO is the power sector and FMO is a strong supporter of power developers and projects.
Shell Foundation's mission is to catalyse partnerships that deliver sustainable solutions to those social and environmental challenges in which the energy industry and multinational corporations have a particular role. Shell Foundation's vision is a future where the international business community has forged dynamic partnerships with civil society to contribute to the creation of an equitable, healthy and environmentally sustainable world. Aldwych is proud to have Shell Foundation as a partner and to benefit from its reputation and support.
Aldwych Investment Group (AIG), is a special purpose vehicle set up to channel the investment of various private sources of equity. AIG is composed of three separate entities: Postscriptum, Posen Foundation and Reichmuth & Co. Postscriptum is an investment company led by Mark Crandall with a special interest in energy projects. The Posen Foundation is a Swiss charitable organisation founded by Felix Posen and now run by his son Daniel Posen. Reichmuth & Co. is a Swiss private bank, founded in 1995, and specialising in investment management.
Emerging Africa Infrastructure Fund (EAIF) was established in 2002 with an innovative structure that used US$100m of shareholder money from four European governments to leverage a further US$205m from the private sector. It is a true public/ private partnership with the share capital contributed by the public sector so far being used to facilitate lending totalling US$470m across 21 countries (6 of which have been refinanced) in the power, telecoms, cement, mining and transport sectors. AT the end of 2006 a further US$60m was raised from Barclays, Standard Bank and KfW to increase the overall Fund size to US$365m. With a strong project pipeline in place, EAIF is currently undertaking at a further debt raising exercise (along with a further equity contribution form its shareholders) aimed at increasing the Fund size to US$600m; a 1 4:1 gearing up of the overall public sector investment
The Pan African Infrastructure Development Fund (PAIDF) was created in early 2007, and in September 2007 it closed its first round of capital raising at US$625m, solely from African investors. The targeted amount at final close is US$1bn and the second round of capital raising is underway. The vision for the PAIDF is to create a financing platform for infrastructure development that will accelerate Africa’s growth. The PAIDF seeks to play a critical role in assisting African economies to meet the capital requirements in financing infrastructure investments to enable the continent to achieve sustainable growth. Sector targets are energy, telecommunication, transport, and water. Designed as a large-scale long-term fund, the PAIDF allows Harith, the Fund Manager, time to build and develop each individual investment to optimise financial returns as well as obtain capital commitments from specific investors. The PAIDF aims to invest in Public Private Partnerships across the African continent and is registered as a vesting trust under the laws of South Africa. A parallel trust is currently being considered for Mauritius. The PAIDF is a 15 year close-ended fund, with an 8 year commitment period and a 7 year harvesting period. The following table identifies the first-round investors and their respective amounts in the PAIDF.
|SA Government Employees Pension Fund||US$ 250m|
|Barclays/ABSA Bank||US$ 125m|
|Development Bank of Southern Africa||US$ 100m|
|Old Mutual||US$ 50m|
|African Development Bank||US$ 50m|
|Standard Bank||US$ 15m|
|Liberty Life||US$ 15m|
|Metropolitan Asset Managers||US$ 10m|
|Social Security and National Insurance Trust||US$ 10m|
|Total Amount Committed||US$ 625m|
As the appointed manager of the PAIDF, Harith possess the commercial, technical, and professional experience and resources to ensure world-class performance. Harith is headquartered in Johannesburg and by 2010 it aims to manage the PAIDF through four main regional offices in Africa, one each in the north, south, east and west of the continent, which will ensure them a strong physical presence across the entire African continent.