The Financial Advisory Department provides financial and technical advice to public and private sector clients across Africa, in the areas of infrastructure project development, transaction management, policy formulation and implementation, project financing, mergers, acquisitions, fund management and corporate restructurings.
The suite of advisory services offered cover the Corporation’s core areas of operational strength: project concept and development, technical appraisal, investment structuring, capital raising and portfolio monitoring. In this capacity, the Corporation offers proven expertise and relationships in these crucial areas to a select number of public and private clients in Africa.
The Corporation also partners with a broad range of international and local institutions focused on Africa, with a view to delivering high quality advisory input to sponsors, governments and corporate groups that are seeking to develop significant infrastructure projects in Africa.
AFC is providing financial advisory services to a private sector UAE-based Sponsor in the development and financing of a storage terminal, a captive 12,000 barrels per day modular petroleum refinery as well as ancillary infrastructure including a jetty and a pipeline to be located in Kamsar, Guinea.
AFC has been providing support to the Sponsor, providing project finance advice, developing last mile project development activities required for lenders and equity investors, securing project development finance for the project and currently in the process of raising the required financing of up to US$350 million to implement the project.
In Rwanda, we are providing ongoing advice to a public private partnership entity in the project development and funding of a greenfield international airport to be located in the Bugesera district of Rwanda, in which Qatar Airways recently agreed to acquire a 60% stake.
At a minimum, this project alone will create 1,500 jobs during construction and result in an additional 2,000 employees after commissioning. The new airport will improve throughput capacity in the country and play a key strategic role in boosting tourism and foreign direct investments, helping to drive Rwanda towards becoming a middle-income economy.
In Djibouti, the Corporation is advising the Djibouti Port and Free Zone Authority on a variety of financial transactions. These include a US$63 million strategic investment to construct and operate a 60MW wind project in the Ghoubet area, near Lake Assal in Djibouti. The Corporation has made this investment as lead developer, inviting further investment from Climate Fund Managers (“CFM”), FMO, the Dutch entrepreneurial development bank, and Great Horn Investment Holdings (“GHIH”).
AFC has led the project since 2017, developing it from concept to bankability, securing a 25-year take or pay power purchase agreement with Électicité de Djibouti as the offtaker, and a land lease agreement with the Government of Djibouti. The wind project is expected to begin commercial operations in 2022.
In Nigeria, AFC continues to lead an ongoing assignment to assist the Central Bank of Nigeria (CBN) and the state-owned Bank of Industry in the deployment and monitoring of a critical US$2.0 billion infrastructure intervention facility for Nigeria’s electricity and aviation sectors. This facility remains the single largest source of low cost, local currency, financing for infrastructure projects in Nigeria over the last decade.
AFC has provided advice on over 160 power and aviation projects and made total investment recommendations of US$2.6 billion (equivalent) to-date. With AFC’s counsel, the facility has financed about 1,432MW of power projects in Nigeria, with 997MW of this capacity providing new supply to companies and the national grid.
AFC has sought to address the wider infrastructure divide by originating, structuring and executing projects in the African power sector….
The DFI community, including the AFC, continues to play the important facilitation role by becoming more and more involved in projects….
As a continent endowed in natural and mineral resources, Africa has the capacity for sustainable growth in industrial output….
Expanding connectivity and energy efficient equipment are predicted to be the main drivers of investment and deal activity in Sub Saharan Africa….
AFC acts as an adviser and financier to a number of leading sponsors seeking to undertake important transactions in the mining and oil and gas industries and associated infrastructure….