The IFC is mulling a $20 million commitment to the Abraaj Global Credit Fund, a planned $500 million vehicle which will target debt investments in Africa, Asia, Latin America, the Middle East and Turkey. The new fund will focus predominantly on opportunities in mid-sized businesses which provide products and services to the consumers in these emerging market regions.
The fund will be managed by Abraaj Credit Markets, part of Dubai-based The Abraaj Group, an emerging markets private equity investment specialist which has approximately $10 billion in assets. The fund’s capital will be invested in growth credit and mezzanine debt lending deals in firms that are looking for growth capital to support their expansion plans. Typically these might involve financing capital expenditure, acquisition financing, project financing and other situations that require a customized credit solution.
According to the Summary of Investment Information on the IFC’s website, the development finance institution’s Board is expected to meet and review the investment proposal in the middle of August.