Anglo SDG Loan

completed

     The proposed IFC investment will be a sustainability-linked loan (“SLL”) of up to US$100 million to Anglo American Capital plc (the “Borrower”), a wholly owned financing vehicle of Anglo American plc (“Anglo American” or the “Sponsor”). IFC’s loan will support the Anglo American group’s education and livelihood activities aimed at delivering the education and livelihood goals under its Sustainable Mining Plan (“SMP”) in South Africa or, with the prior consent of IFC, any other jurisdiction. The Anglo American SMP, launched in 2018, sets forth a series of ambitious stretch targets and ambitions for 2025 and 2030 across the mining value chain, which are aligned with the UN Sustainable Development Goals (“SDGs”). This will be Anglo American’s first SLL. Anglo American (https://www.angloamerican.com/) is a UK head-quartered global diversified mining company with exploration, mining, and processing operations in 15 countries. The Anglo American group provides many of the essential metals and minerals that are fundamental to the transition to a low carbon economy.  The education and livelihood activities will be largely undertaken under the Anglo American South Africa Education Program (“Education Program”) and the Zimele Enterprise, Supplier and Youth Development Program (“Zimele”). The education and livelihood activities are focused on the mining communities surrounding the company’s operations in the Limpopo, Mpumalanga, Northern Cape, and North-West provinces of South Africa. 1) Education Program: The program was launched by Anglo American in April 2018, in partnership with the Department of Basic Education (“DBE”) and the Department of Social Development (“DSD”), with the aim to improve the educational outcomes of learners in 100 primary and secondary schools and 100 early childhood development (“ECD”) sites reaching over 74,000 students selected in the areas of influence of the company’s mining BUs. It will seek to capacitate practitioners, educators, and school management teams by improving their content knowledge and pedagogical skills through a baseline assessment, training, workshops and intensive classroom coaching. In addition, the program has components to support parents and community participation in children’s education and the implementation of basic equipment and infrastructure improvements for schools and ECD centers (Education). 2) Zimele Program: Zimele was originally established in 1989 by the Anglo American group to help disadvantaged South Africans participate in the economy by setting up their own businesses. Since inception, it has funded more than 4,000 micro, small and medium-size enterprises (“MSMEs”) and supported more than 60,000 jobs. The program was redesigned in 2018 to create business hubs in the areas of influence of the company’s mining BUs to provide mentorship, capacity-building, and coaching, in addition to access to funding. Today, the program’s main components include: (a) training, coaching, and mentoring to build MSME capability, supplier development and personal (youth) development; (b) hub management, (c) access to markets; and (d) MSME loan funding and administration (Zimele).