EQUITY FINANCING

Equity Investment involves the Bank taking up an equity stake into other companies / project companies as opposed to providing loan finance.

The total investment in any individual company which the Bank will take up is restricted to 25% of the total equity of a company.

The Bank's investment will largely be in the form of ordinary shares although it is possible for a proportion of the Bank's equity to be preference shares.

Investment Criteria

The main criteria the Bank will consider are that the company:-

• Must be privately owned

• Must have been  in existence for a minimum of five years

• Must have been profitable for the last three years

• Must have acceptable debt/equity ratio, and sound capital base

• Must have dividend history of the past three years

• Must have acceptable earning ratio

• Projections of future income streams must be positive

• If not listed, it must have the potential to be listed or quoted on the Stock Exchange

In all cases of equity investment, the Bank will exit between 5 - 10 years through direct sale to existing shareholders or through the Stock Exchange.

Please see application guidelines for procedure on how to apply.

For further information and clarification, please contact the Operations Department