NOTs Foundation and FMO raise €12m for NOTS Microfinance Fund

Microfinance Focus, Aug 30, 2010:  Triple Jump’s partner the NOTS Foundation and the Dutch government’s International Development Bank FMO have today signed an agreement for the EUR 12 million facility as part of the NOTS Microfinance Fund. Triple Jump is the investment manager of the fund, thereby responsible for portfolio management, asset selection and deal execution.

The NOTS Foundation is raising money from retail investors through long term bonds. The EUR 12 million facility from the Dutch government and its international development bank FMO will be subordinated to senior bondholders in the NOTS Microfinance Fund.  For each euro invested in NOTS bonds, the Dutch Ministry of Foreign Affairs and FMO co-invest 43 euro cents. This co-investment of 43 euro cents per bond is subordinated to the investment of the bondholders. NOTS aims to raise a total of EUR 40 million for the fund.

NOTS is a Dutch NGO focusing on international development and entrepreneurship. The NOTS fund is a semi-open ended fund that targets investments in TIER 3 financial institutions. Launched in late 2009, it has invested in 2 in MFIs, both in Latin America. Investments are financed by senior bondholders. The NOTS Microfinance Fund targets lower tier microfinance institutions in developing countries.

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