Catalyst II (IFC-38648)

Countries
  • Congo, Democratic Republic of
  • Ethiopia
  • Kenya
  • Rwanda
  • Tanzania
  • Uganda
  • Zambia
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
FI
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Dec 15, 2016
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
CATALYST FUND II, LLC
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Equity
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 15.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 200.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ IFC website

Updated in EWS Aug 8, 2018

Disclosed by Bank Oct 24, 2016

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to IFC website, Catalyst Fund II, LLC is an Eastern Africa-focused private equity fund with priority sectors that focus on consumer demand opportunities underpinned by strong fundamentals. The Fund is seeking to raise up to US$200 million in third party commitments to make 8-12 mid-market growth capital investments. The Fund has consistent strategy, geography and investment theses as the predecessor fund. The Fund will be managed by Catalyst Principal Partners, a team with Eastern Africa-focused investment experience and demonstrable proprietary pipeline and local networks. The project is expected to have a high development impact in the following areas:

1. The growth of the Fund's portfolio companies is expected to result in strong job creation;

2. The Fund will invest 100% in companies located in IDA countries; and

3. Private sector development by enhancing regional intergration via supporting companies to expand across borders.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Financial Intermediary
A financial intermediary is a bank or financial institution that receives funds from a development bank. A financial intermediary then lends these funds to their clients (private actors) in the form of loans, bonds, guarantees and equity shares. Financial intermediaries include insurance, pension and equity funds. The direct financial relationship is between the development bank and the financial intermediary.
Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

The Fund Manager is Catalyst Principal Partners, a private Eastern Africa focused fund manager led by former Actis, Goldman Sachs and Diageo professionals based in Nairobi, Kenya. The leadership team has over 75 combined years of investment and advisory experience, and is leaning on lessons learned from their first fund to raise a successor fund with a strategy consistent to Fund I, focusing on the same sectors and geographies. Paul Kavuma has over 20 years PE and management consulting experience, and is the former head of East Africa PE at Actis and ex-Associate Director for SSA at HSBC Investment Bank. Biniam Yohannes has 15 years of PE and investment banking experience covering emerging markets, and is an ex-VP at Goldman Sachs. Rajal Upadhyaya has 15 years of business development, operations, corporate finance and management consulting experience, and was previously a director of business development for Diageo Africa, and consultant at Marakon Associates and PWC. The team will commit 1% of committed capital.


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

No contact information provided at the time of disclosure. 

ACCOUNTABILITY MECHANISM OF IFC

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/

How it works

How it works