Overview
IDFs set up as Companies under the Companies Act, would refinance eligible infrastructure projects that have completed at least 1 year of satisfactory operations.
Though refinance for infrastructure projects is an established business in Africa, the Infrastructure Debt Fund format is relatively new and seeks to achieve the following overall objectives:
• Reduction in Asset Liability mismatch of banks
• Freeing-up of exposure of banks to Business Groups
• Lower cost long term refinance for projects
• Increased foreign investments into Africa's infrastructure sectors
• Deepening, widening, and broadening the bond market in Africa
Value proposition to clientele
CoverMark Infra Debt Fund (CoverMark IDF) offers refinancing solutions to eligible clients (infrastructure projects which have completed at least 1 year of satisfactory operations), in line with regulatory guidelines.
CoverMark Infra Debt Fund (CoverMark IDF) offers lower cost refinance, elongated tenures and structured repayment/ redemption schedules which match the cash flow of the project. CoverMark IDF offers contractual and financial structuring that would enable credit enhancement thereby improving viability and credit rating of projects.