Summary of Proposed Investment
Project Number
10197
Company Name
FUNDI CAPITAL (PTY) LTD
Date SPI Disclosed
Apr 18, 2000
Country
South Africa
Industry
Financial Markets
Status
Completed
Sector
Commercial Banking - Microfinance and Small Business
Department
Regional Industry - FIG Africa
Environmental Category
C - No Impact
Previous Events
Approved : Jun 27, 2000
Signed : Mar 8, 2002
Invested : Apr 8, 2002
Project Description
Summary Of Project Information (SPI)
RegionSub-Saharan Africa
Sector
Project No10197
Projected Board DateJune 1, 2000
Company NameEdu-Loan (Proprietary) Limited
Technical Partner and/or Major Shareholders
Real Africa Holdings Limited, Open Learning Group, FBC Fidelity Bank Holdings Limited, and Kopane Group have equal shareholdings of 25% each.
Real Africa Holdings was launched in 1994 by a consortium of South African black business people and labour unions. It is involved in banking and insurance as well as information technology and fishing industries.
Open Learning Group provides adult education and practical skills through several colleges. Its main shareholders are National Empowerment Corporation and several investment banks.
FBC Fidelity Bank Holdings is a Johannesburg Stock Exchange listed banking services company, which is owned by Thebe Financial Services and Fedsure Group.
Kopane Holdings is owned by Mr. Jan Kitsoff and Mr. Johan K. Wasserfall, who are South African citizens with extensive working experience in financial institutions.
Project Cost Including proposed IFC investment
The project cost is US$16.1 million. IFC is asked to make a loan, convertible into common equity after two years, of US2.8 million.
Location of project and Description of site
Edu-Loan is located in Johannesburg, South Africa.
Description of Company and Purpose of Project
Edu-Loan is a company which provides loans to working employees, mainly in the public sector, for taking courses at tertiary institutions (universities and technikons) in South Africa. All deductions are payroll-based and the loans are repayable over nine months. The loan is required to enable the company to expand its lending operations in this sector.
Education is probably South African''s single biggest constraint on economic growth and the integration of the black population into the mainstream economy. By providing finance to Edu-loan, IFC is assisting in empowering learners so that they can have a higher standard of living in the future.
IFC''s role and contribution is the provision of finance to a company financing education, to obtain additional funding to complete the company''s financing plan, and to structure the deal.
Environmental Category and Issues
Based on the available information, this is a category C project according to IFC''s environmental review procedure. No further environmental review is therefore required.
Date SPI sent to InfoShop April 18, 2000
“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 974-4384
Sponsor / Cost / Location
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