PROJECT

Projects

Environmental & Social Review Summary

Project Number

43696

Company Name

AFRICAN HOTEL DEVELOPMENT LUXEMBOURG

Date ESRS Disclosed

Apr 7, 2021

Country

Africa Region

Region

Africa

Last Updated Date

Apr 1, 2022

Environmental Category

B - Limited

Status

Active

Previous Events

Approved : May 27, 2021
Signed : Jun 30, 2021
Invested : Mar 30, 2022

Sector

City and Business Hotel

Industry

Tourism, Retail and Property

Department

Regional Industry - MAS Africa

Project Description

Onomo Hotels (“Onomo” or “the company” - https://www.onomohotels.com/ ), is a pan African mid-scale business hotel owner and/or operator of 21 hotels located in twelve different countries around Africa. Onomo’s head office is based in Casablanca, Morocco. IFC’s proposed investment is part of ONOMO’s strategy to become a market leader in business mid-market hotels in Africa through greenfield and brownfield projects, acquisitions, refurbishments and management contracts.

The proposed project scope includes (i) constructing 2 greenfield hotels in Yaoundé, Cameroon and Djibouti; and (ii) refurbishing, expanding and/or debt refinancing of 3 existing hotels in the capital cities of Mali, Senegal & Cote d’Ivoire. IFC proposes to invest up to EUR20.9 million A loan. In addition, IFC as implementing entity of the International Development Association Private Sector Window-Blended Finance Facility is expected to provide up to US$15.2 million in the form of a concessional subordinated loan (“blended concessional finance co-investment”).

The three hotels in Dakar, Abidjan and Bamako are operational since 2010, 2012and 2015, respectively, and the hotel in Dakar was renovated in 2019.

Overview of IFC's Scope of Review

IFC’s review of the proposed investment consisted of appraising environmental, health and safety (EHS) and social information submitted by Onomo including: group business details and expansion plans; corporate policies and procedures on EHS, Human Resources (HR) management; regulatory permits; environment monitoring reports, life and fire safety design drawings etc.

Due to the COVID pandemic, the appraisal was undertaken virtually via conference calls between the Onomo and IFC teams that was organized on the 29th of September 2020. Additional information was collected after the virtual appraisal meeting. Discussions were held with the E&S manager for Onomo at group level, the HR manager, the technical director, the maintenance engineer, the security specialist as well as the development and financing director.

E & S Project Categorization and Applicable Standard

Environmental and Social Mitigation Measures

Stakeholder Engagement

Broad Community Support

Environmental & Social Action Plan