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AFC Announces Completion of US$ 300 million Fund raising

Lagos, London, 17 December, 2014: Africa Finance Corporation (AFC), a leading investment grade rated multilateral development finance institution, established in 2007, today announced the close of a US$ 300 million dual tranche (2-Year and 3-Year) club facility arranged by six initial mandated lead arrangers (IMLA)and Bookrunners: Bank of Tokyo-Mitsubishi UFJ, Ltd; Citibank N.A; Deutsche Bank AG; FirstRand Bank Limited; Standard Bank of South Africa Limited; Standard Chartered Bank. Each of the IMLAs and Bookrunners committed funding of US$50 million to the facility. Subsequent to the initial funding, a secondary market syndication of the facility was arranged. The secondary market syndication witnessed a strong demand for the credit, with new commitments of US$336.5 million obtained from 16 lenders across various geographies such as Asia, Europe and the Middle East, including:- Industrial and Commercial Bank of China Limited, Commercial Bank of Kuwait K.P.S.C, The Korea Development Bank, KDB Bank Europe Limited, Burgan Bank S.A.K, Tunis International Bank, First Gulf Bank PJSC, Bank of China Limited, State Bank Of India, Banque des Mascareignes Ltée, Commercial Bank of Qatar Q.S.C, The Export-Import Bank of the Republic of China, Korea Exchange Bank, Al Ahli Bank of Kuwait K.S.C.P, First Commercial Bank Limited, Mega International Commercial Bank Co, United Taiwan Bank S.A. In total, the facility was more than two times oversubscribed during the primary and secondary market process, with AFC receiving total commitment of US$636.5 million from a total of 22 lenders. The proceeds of the facility will be used by AFC for general corporate purposes including the facilitation of trade. AFC, a multilateral finance institution, was established in 2007 with a capital base of US$1 billion, to be the catalyst for private sector infrastructure investment across Africa. AFC’s investment approach combines specialist industry expertise with a focus on financial and technical advisory, project structuring, project development and risk capital to address Africa’s infrastructure development needs and drive sustainable economic growth. AFC invests in high quality infrastructure assets that provide essential services in the core infrastructure sectors of power, natural resources, heavy industry, transport, and telecommunications. AFC has become the benchmark institution for private sector investment in Africa. Banji Fehintola, Senior Vice President & Treasurer, Africa Finance Corporation commented “AFC’s long term vision is to help address Africa’s infrastructure deficit and ensure sustainable economic growth for the continent. We are encouraged by the confidence that our lenders have placed in us. We believe that the well documented need for bridging the infrastructure investment divide across Africa will provide the opportunity to apply AFCs differentiated model of providing long-term infrastructure financing and value added infrastructure asset project development expertise, to generate real value for our investors and stakeholders”. Notes to Editors About AFC - www.africafc.org Follow us on Twitter - @africa_finance About AFC: • AFC is an African-led multilateral development finance institution, established in 2007, with a mission to improve African economies by proactively developing and financing infrastructure, industrial and financial assets. • AFC is involved as an investor, developer and financier of various infrastructure projects, and is gaining recognition as the benchmark institution for financing the development of infrastructure projects in Africa. • AFC’s current authorized share capital is USD2.0 billion with shareholders’ funds of USD1.28 billion and a 2014 funding programme in excess of USD900 million. • AFC is one of the highest investment grade-rated multilateral finance institutions on the African continent, with an A3 (long term) /P2 (short term) foreign currency debt rating by Moody’s Investors Service. AFC’s projects: • Cenpower Generation Company Limited is a special purpose vehicle that is developing a 350MW, light crude oil and gas fired, combined cycle power plant in the municipality of Kpone within the Tema industrial zone, near Accra, Ghana (the Kpone IPP). The Kpone IPP is one of the largest infrastructure projects currently under development in West Africa. A well-developed project with a very robust commercial structure, Kpone enjoys the strong support of the Ghanaian Government. The key commercial agreements, including the Power Purchase Agreement and the Government Consent and Support Agreement, have been approved by Cabinet and Parliament. • AFC is a partner with Vigeo Holdings Limited and Tata Power Delhi Distribution Limited for the acquisition of power distribution assets, and a lead financier in the acquisitions of the Kainji and Ughelli power generation plants in the current Nigerian Government power sector privatisation round. • AFC is the lead investor in the award winning Cabeolica project, a USD90 million, 26MW landmark renewable energy wind power project in Cape Verde. • AFC is the Technical Adviser to the Central Bank of Nigeria (CBN) on the CBN’s USD2.0 billion Power and Aviation Intervention Fund (PAIF). • AFC is the lead investor in the Main One fibre optic cable project, enhancing West Africa’s connection to Europe and the rest of the world through faster and more technologically advanced broadband capacity. • AFC provided a USD50 million convertible debt investment in ARM Cement Limited (ARM), the second largest cement operator in Kenya to support expansion initiatives across Eastern and Southern Africa including; development and construction of a lime plant in Tanzania and expansion of ARM’s cement capacity in Kenya. The transaction marked AFC’s first bilateral investment in Kenya. • AFC provided financing for Ethiopian airlines fleet expansion in the acquisition of Africa’s first Boeing 777 airline. • AFC also invested in the Bakwena toll road project in South Africa, and in the EURO 270 million Konan Bedie Toll Bridge in Côte d’Ivoire; the signature Transport PPP project in Francophone Africa, underscoring its interest in investing in PPPs/PFIs in its focal sectors across the African continent. • AFC launched a landmark USD15 million project development facility with the Dutch Development Bank FMO in January 2013, to fund early-stage equity investments in projects under development pre-financial close, in the infrastructure sector across sub-Saharan Africa. • The AFC has established partnerships with national, regional and international organizations and with sponsors that are active in the infrastructure space in Africa.

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