The firm in a statement noted that the Series I issuance of
the fund, sized at up to N200 billion, which was launched on January 29, 2024,
is set to close on March 6, 2024. “The fund aims to address Nigeria’s
infrastructure gaps by strategically channelling institutional capital into
infrastructure projects and is designed to encourage innovative businesses in
sectors such as power, telecommunications, agribusiness and supporting
infrastructure, gas distribution, processing, and storage. “The fund’s main objective
is to deliver consistent and reliable income to unit holders through debt
financing for infrastructure projects in Nigeria.
It seeks to focus on projects or businesses that offer vital
economic and social services, exhibit stable cash flows, and utilise long-lived
assets,” part of the statement read. The Managing Director of AVA Global Asset
Managers Limited, Mr Efe Shaire, stated that the fund aimed to strategically
allocate private credit with a focus on impactful projects with robust and
predictable future cash flows.
It stated the fund was projected to attain a gross return on
its portfolio that is three to five per cent above the yield of the FGN bond
with a comparable tenor. “The programme will be periodically offered to
investors in series or tranches, aligned with the pipeline of opportunities,
and the necessary investment size/ticket. The fund manager will determine the
specifics of each series/tranche, including its tenor, which will not surpass
the programme’s overall tenor,” the firm added.
#The fast-growing asset management firm, renowned for
offering portfolio management, investment advisory, and innovative asset
management services, claimed that the SEC-registered and approved the fund as a
closed-end, nairadenominated unit trust scheme.
Parties to the transaction include AVA Global Asset Managers
as the fund manager, STL Trustees as the trustee, Olaniwun Ajayi LP as the
solicitors, United Bank for Africa as the custodian, Cordos Registrars as the
registrars, Ernst & Young as the independent infrastructure advisor and AVA
Capital Partners as its issuing house.