The project sponsor is NewGlobe Schools Inc., a Delaware corporation. Bridge is the wholly owned Kenyan subsidiary of NGS. NGS was founded and is managed by a team of entrepreneurs, development specialists and investors including co-founders Jay Kimmelman and Shannon May who along with other present and past employees own approximately 21% of the company and institutional investors- New Enterprise Associates, Khosla Ventures, Omidyar Network and Learn Capital that jointly own approximately 63% of the company.

The total project cost is estimated at $60 million. The proposed IFC investment is a $10 million preferred equity investment.

10.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan
Equity	10.0

* These investment figures are indicative

The existing network of 211 schools is located across Kenya in urban, peri-urban and rural settings. The schools are built by Bridge on greenfield sites located in high density low income communities where children only have to walk a maximum of 500m to get to the school. The schools have clear access paths and can be reached by public/private transport or on foot. In the new markets, Bridge will follow a similar strategy for the location of the schools.

1. Access to basic education: Bridge aims to provide access to education for 3.5 million students from low-income backgrounds by 2020.
2. Promoting affordability: Bridge provides quality education for a significantly lower cost than alternative low cost private schools and government schools.
3. Improving quality and accountability: Bridge has a team of specialized content developers that develop high quality content based on the national curriculum. Independent studies on the quality of Bridge education show between 25% to 205% improvement in Bridge students' literacy and numeracy over their peers in government schools and other low cost schools . The use of technology and automation has allowed Bridge to enforce accountability at all level of the organization, particularly ensuring teacher attendance which is a large problem in the Company's target markets.
4. Job creation: The Company aims to create 57,000 teaching jobs by 2020. A majority of these jobs will be filled by youth in the 24-35 year age group recruited and trained as teachers. Additionally the Company will hire individuals for the ancilliary services it intends to provide such as lunch catering services.
5. Demonstration effect: The education sector for the low income market is fragmented which results in inconsistent quality and higher costs. The Company will act as a consolidator in the sector and if successful will attract other companies to employ similar strategies, thereby improving quality and reducing costs of primary education in emerging markets.
6. Improved nutrition for students: The Company aims to introduce lunch meals at school and will provide students with affordable, nutritious meals.

1. International expansion: IFC can use its reach and experience in emerging markets to assist the Company in analysing expansion targets, selecting appropriate markets and supporting market entry.
2. Long term financing: IFC can support the growth of the Company into new markets through the provision of long term capital.
3. Regulatory assistance: IFC together with World Bank can assist the Company in understanding and navigating regulations and government policies in new markets.
4. Quality studies: Bridge is conducting independently administered third party studies (Early Grade Math Assessment and Early Grade Reading Assessment) on 5,000 students across Bridge schools, other low-cost schools and government schools. IFC can help Bridge further strengthen the studies by assisting the Company to source funding partnerships and helping to develop thought leadership in assessing and reporting quality of education in low-cost private schools.

This is a category B project according to IFC’s Environmental and Social Review Procedure because potential adverse environmental and social risks are limited, reversible and may be readily mitigated.

Please refer to the related Environmental and Social Review Summary (ESRS) document for this project.

Please refer to the Environmental and Social Action Plan (ESAP) tab in the related Environmental and Social Review Summary (ESRS) document for this project.