TMCnet News

TriLinc Global Impact Fund Makes Impact Investments in Africa, Latin America and Southeast Asia
[August 17, 2016]

TriLinc Global Impact Fund Makes Impact Investments in Africa, Latin America and Southeast Asia


TriLinc Global Impact Fund ("TriLinc" or the "Company") announced today that it recently approved $22 million in term loan and trade finance transactions with companies operating Africa, Latin America and Southeast Asia. The transaction details are summarized below.

TriLinc is an impact investing fund that provides growth-stage loans and trade finance to established small and medium enterprises ("SMEs") in developing economies where access to affordable capital is significantly limited. Impact Investing is defined as investing with the specific objective of achieving a competitive financial return as well as creating positive, measurable impact in communities across the globe.

TriLinc approved the term loan and trade finance transactions, which meet the Company's requirements for underwriting, economic development and societal advancement, as described below:

On July 1, 2016, TriLinc funded $4,000,000 to an Argentine meat production and processing company as part of an existing $9,000,000 revolving trade finance facility at an interest rate of 11.50%. Secured by purchase contracts and receivables, this transaction is set to mature on December 31, 2016. The borrower anticipates that TriLinc financing will continue supporting economic growth through job creation, increased exports, and increased agricultural productivity. For all TriLinc borrowers in Argentina, TriLinc provides export finance, where the international buyers are typically developed market companies or large conglomerates.

On July 5, 2016, TriLinc funded $10,000,000 as part of an existing $10,000,000 senior secured trade finance facility to a Singaporean agricultural products exporter operating in Sub-Saharan Africa. With an interest rate of 11.50% and a maturity date of January 6, 2017, the transaction is secured by specific agricultural product inventory warehoused by the borrower in Kenya and Tanzania. It is anticipated that TriLinc's financing will support productivity improvements and competitiveness enhancements in the agricultural sector throughout East Africa.

On July 28, 2016, TriLinc funded $7,450,000 in trade finance and term loan transactions, including:

  • $2,250,000 as part of a new $7,500,000 senior secured trade finance facility to a Mauritanian-based vanilla exporter. With an interest rate of one month Libor +10.50%, the transaction is set to mature on April 28, 2017 and is secured by inventory and receivables. It is anticipated that TriLinc's financing will prvide the company's smallholder farmer supplier base with access to new international markets and off-takers, including large U.S.-based conglomerates.
  • $1,400,000 as part of an existing $16,050,000 senior secured five-year term loan commitment to a locally-owned Nigerian marine logistics provider. With a maturity date of September 16, 2020, TriLinc's financing will accrue interest at one month Libor +10.50% plus 4.68% in deferred fixed interest. TriLinc's financing will continue to support the company's positioning and long-term growth objectives as one of the few locally-owned marine logistics providers operating in a highly competitive industry. Additionally, it is anticipated TriLinc's financing will further support the company's efforts to expand its employee base and increase the number of trained employees.
  • $3,800,000 as part of a new $8,500,000 senior secured trade finance facility to an energy efficient Moroccan-based scrap metal recycler and processor. With an interest rate of one month Libor +10.50%, the transaction is secured by inventory and receivables and is set to mature on July 17, 2017. It is anticipated that TriLinc's financing will support the borrower's strategy of enhancing its energy efficiency process and products, utilizing local micro, small, and medium size suppliers, increasing market access in West Africa, and growing its employee base.



On July 29, 2016, TriLinc funded $554,500 as part of an existing $11,000,000 revolving senior secured trade finance facility with a South African electronics company that assembles affordable cellular phones and televisions. With a fixed interest rate of 13.00%, the transaction is set to mature on November 25, 2016 and is secured by the stock that is delivered to the company's warehouse. The borrower anticipates that TriLinc's financing will support its continued growth efforts and create more jobs, particularly among the country's female population, while increasing the supply of affordable and accessible technology in the region.

"As our investment activity continues to scale past $350 million, it is exciting to see the diversity of opportunities that are evaluated by TriLinc and its sub-advisors across geographies, industries, impact themes, and investment types," said Gloria Nelund, TriLinc CEO. "Our recent investments are no exception to this trend as we have financed a set of borrowers that operate at various stages within the agricultural and manufacturing supply chains in Latin America and Africa and promote the competitive participation of locally-owned business or locally-sourced products in the global marketplace."


About TriLinc Global Impact Fund

TriLinc is a non-traded, externally managed, limited liability company that makes impact investments in SMEs in developing economies that provide the opportunity to achieve both competitive financial returns and positive measurable impact. TriLinc invests in SMEs through experienced local market sub-advisors, and expects to create a diversified portfolio of financial assets consisting primarily of collateralized private debt instruments. TriLinc's investment objectives are to generate current income, capital preservation and modest capital appreciation. In addition, the Company aggregates and analyzes social, economic, and environmental impact data to track progress and measure success against stated objectives.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws and regulations. These forward-looking statements are identified by their use of terms and phrases such as "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "predict," "project," "should," "will" and other similar terms and phrases, including references to assumptions and forecasts of future results. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. The Company undertakes no obligation to update any forward-looking statement contained herein to conform the statement to actual results or changes in the Company's expectations.


[ Back To TMCnet.com's Homepage ]