Creation Investments Social Ventures Fund II

Creation Investments Social Ventures Fund II makes equity investments in institutions that provide financial services to the bottom of the pyramid (“BOP”), including institutions that serve micro, small and medium-size enterprises (“MSMEs”), recognizing the financial opportunity and social importance of serving underpenetrated financial services markets in developing economies. Financial services include, but are not limited to, loans, deposits, card transactions, payment services, money transfers, mobile banking, and insurance products to clients that include poor and low-income households, microenterprises, small and medium sized businesses.

Financial description

The fund seeks risk adjusted, market returns through improving operations, increasing earnings, growing book value, and multiple expansion. Investment targets include but are not limited to (1) Microfinance Institutions (“MFIs”), (2) Small and Medium Enterprise financial institutions, which may be non-bank financial institutions or regulated banks (“SME Institutions”), or (3) Micro-insurance providers, branchless banking, and mobile banking services companies (“BOP Financial Service Providers”) globally. Generally, the Fund intends to acquire controlling equity stakes in portfolio companies through buyout and growth equity investments in order to effectuate financial and operational improvements, maintain impact investing objectives, and generate attractive financial returns on investment. The Fund may also make debt investments, including but not limited to subordinated debt, convertible debt, and debt with warrants, to facilitate or enhance its equity investments.