Opulent (B) Ltd (the “Company”), the Burundi-based project company, ownes the Hotel and will operate it under a franchise agreement with the Hilton Group. The Company is equally owned by Mr. Ayaz Ali Jivraj and Mr. Bashir Nathoo (together the “Sponsors”).

Mr. Ayaz Ali Jivray has a sound experience in hospitality management coupled with property development and construction. He has an Honors Degree in Building Legislation and technology and an MBA from the Manchester Business School in England.

Mr. Bashir Nathoo has a BSc. in Electronics and a MSc. in Computer Sciences at the University College London. Mr. Nathoo has been in the hospitality industry for over 20 years.

The Sponsors have successfully developed two Double Tree by Hilton hotels in Tanzania, respectively in Dar Es Salaam and Zanzibar.

The total project cost is estimated at $21.8 million. The proposed IFC investment consists of an A loan of up to $5.5 million for IFC’s own account.

5.50 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	5.50
Equity

* These investment figures are indicative

The Project is located in the heart of the business district of the capital city of Burundi.

The Project will: (i) address the supply-demand gap for business hotels of international standards, providing key business infrastructure as the Country emerges from a post-conflict status; and (ii) raise the country hotel standards by supporting the establishment of a 4-star internationally managed hotel in the country.     

(i) IFC will provide long term financing not readily available in Burundi and also attract other financiers to the project. IFC''s involvement in the project will also provide adequate comfort to potential investors that Burundi is an attractive destination for investments.
(ii) The renovation of the hotel presents IFC with an excellent opportunity to recommend environmental, health, safety and social measures of international standards.

Environmental, health, safety, and social (EHSS) issues associated with the design and construction phases of the project include occupational health and safety (OHS) management during renovations, minimizing potential impacts on the occupants of neighboring properties; management of waste from the renovation activity; contractor working conditions (including employee and contractor occupational health and safety) and resource efficiency aspects of renovation design. In operation, key issues will be related to EHSS management, labor and working conditions including supply chain management, and control of child labor and contractors management; operational resource conservation measures (energy efficiency and water use); pollution prevention and abatement; food safety; and Life and Fire Safety (L&FS) provisions, and management of fire safety risks.

Given the nature and scope of the project, IFC’s review did not identify any significant adverse impacts or high risk issues and it will be possible to avoid or mitigate any adverse impacts that might result. Thus, this is a Category B project according to IFC’s Environmental and Social Review Procedure.