SFP is a leader in underwriting, structuring and servicing distressed assets in Argentina, Brazil and Dominican Republic, and is planning to expand further throughout LAC region. The Company currently manages close to $3.4 billion in portfolios for international investors in Brazil, Argentina, Uruguay and the Dominican Republic.

SFP is owned by managing partners Jeffrey Hoberman and Santiago de Lafuente.

Total project cost is approximately $100 million. The proposed $50 million IFC investment comprises an equity investment in SFP; and funding for the acquisition of NPLs.

25.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	20.0
Equity	5.0

* These investment figures are indicative

SFP headquarters are located in Buenos Aires, with offices in Sao Paulo and Santo Domingo.

Resolution of distressed assets has a high development impact. It helps distress companies to put collateral assets back into productive use, de-leverage balance sheets and induce managerial and operation improvements. Distressed asset resolution is also beneficial for individual consumers as it allows them to regain access to financing. Finally, resolution of distressed assets improves business the environment and increases appetite for FDI by:

- providing liquidity for loan originators,
- improving corporate governance and international insolvency standards; and
- enhancing creditors’ rights.

IFC’s investment and support would help SFP in its efforts to operate and create replicable NPL platforms across Latin America thereby expanding distressed assets resolution capacity across the region.

This project involves IFC support for investment in portfolios of non-performing assets and has been classified as a Category FI. Considering the nature of activities supported, the operating/servicing company will be required to:

- Develop a Social & Environmental Management System (SEMS) relevant to its business process, prior to disbursement, that is satisfactory to IFC, to ensure that all investments are screened and processed to identify environmental and social risks, if any, and to ensure that acquired portfolios do not have subprojects on the IFC FI Exclusion List or subprojects that have substantial unresolved social or environmental issues;

- Work with applicable assets being resolved to ensure that the projects are operating in compliance with the IFC exclusion list and the Applicable National Environmental and Social Laws and regulations, or have an action plan to achieve the same within a reasonable time frame;

- Identify responsible, qualified persons to manage and implement the SEMS, demonstrate commitment and resources to implementing the SEMS, take action to remedy any gaps in implementation on an ongoing basis; and submit a periodic report to IFC as per a format to be provided by IFC;

- Demonstrate commitment to applying the labor standards established by the IFC Performance Standard 2: Labor and Working Conditions.