ACCION Investments in Microfinance, SPC (Accion Investments)

Accion Investments, an offshore segregated portfolio company, has been sponsored by Accion to provide equity and quasi-equity financing to microfinance institutions (MFIs) worldwide. With capital and capital commitments of US $86 million, Accion Investments’ investors include both multi- and bi-lateral governmental entities as well as private investors from the United States and Europe. A seven-member board of directors representing its largest shareholders governs Accion Investments.

Accion Investments invests in MFIs worldwide that meet stringent investment criteria related to their operations, management and financial strength. With a parallel technical assistance facility that has US$2 million in commitments, Accion Investments can provide the ongoing technical support to institutions that is vital to their long-term growth. The investment company also plays an active role in the corporate governance of these MFIs through representation on their boards of directors.

Accion Investments has retained the services of Accion Investments Management Company, LLC (AIMCO), a Boston-based, wholly owned subsidiary of Accion International, to provide management services to the company.

Financial description

Accion Investments' objective is to provide its Shareholders with capital appreciation by investing in microfinance-focused institutions in Latin America and the Caribbean, and Africa. Microfinance is the provision of a broad range of banking and/or financial services, including the provision of credit, to low-and-moderate income businesses or households, all of whom currently are not adequately served by the traditional formal financial sector, which activity is intended to result in increased profits and higher incomes to business owners, workers, their families and communities. Accion Investments’ principal investment strategy is to invest in the equity and equity-related securities issued by microfinance-focused financial institutions that are considered to be or have the potential to become commercially viable. In addition, the Accion Investments may extend term loans as a bridge to equity.