Konfío Warehouse Line

proposed

Konfío is an online platform that revolutionizes corporate credit processes in Mexico, making it easier for Micro, Small, and Medium Enterprises ("MPYMES") to access formal financing through technology, data science, and efficient digital transactions. The objective of the transaction is to support Konfío to: (i) expand its lending activities in Mexico; and (ii) consolidate its presence as a recurrent issuer of asset backed securities in the capital markets. For this purpose, IDB Invest will provide a local currency denominated warehousing line (the “WHL”) to a special purpose vehicle incorporate in Mexico (the “Borrower” or “SPV”) for up to MXN1,140 million (the “IDB Invest Financing” or the “Financing”). The Financing will be composed of two tranches: (i) a committed tranche for up to MXN570 million (the “Tranche 1”); and (ii) an uncommitted tranche for up to MXN570 million (the “Tranche 2”). The Borrower will only use the proceeds of the WHL to purchase and accumulate MSME loans, originated by Konfío, in according to eligibility criteria acceptable to IDB Invest, for their future securitization in the capital markets.