MicroEnsure

completed

FC proposes to make an equity and subordinated debt investment package of up to USD 2.1 million in MicroEnsure (ME), a leading micro-insurance facilitator with operations in Africa and emerging Asia. ME is highly innovative in the provision of micro-insurance through mass distribution channels such as MFIs and telecom companies (telecoms).The project supports ME transformation process from a donor-funded NGO business model to a for-profit company focusing on reaching financial sustainability. IFC’s investment would be part of a USD 7 million investment package, which aims to make the company commercially sustainable by: (i) expanding ME’s client base through a partnership with a leading telecom and innovator in mobile financial services, which would initially focus on 4 Asian markets, (ii) strengthening the Company’s equity base, and (iii) expanding the Company’s shareholder base to incorporate more commercially minded investors.IFC’s initial disbursement of the investment would be for approximately USD 1.7 million for approximately 17.6% stake in ME. And a second tranche disbursement is planned for approximately USD 0.4 million one year after the first disbursement, for a cumulative total of 19% equity share in ME. MicroEnsure is a leading micro-insurance facilitator that offers a range of affordable insurance solutions to the low income market. ME currently operates in five countries and currently offers insurance products to 4 million people. ME is a three-time winner of the Financial Times/IFC Sustainability Award. ME provides a range of services along the insurance value chain, including: product design, intermediation, administration, claims management services and third party administration (“TPA”).