| Project description |
| Maghreb Leasing Algerie (MLA) is a greenfield leasing company which was set-up in January 2006 and is the second private sector leasing company in Algeria. MLA will offer medium term lease finance mainly to small and medium enterprises (SMEs) in various sectors, including construction, and transport. |
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| Project sponsor and major shareholders of project company |
Tunisie Leasing is a leasing institution which was established in 1984 to provide lease financing to the Tunisian private sector and has grown to be the leading leasing company in Tunisia with a 29% market share. It has also diversified into other financial services through its investments in subsidiaries involved in factoring, venture capital, brokerage, asset management, and call centers. Tunisie Leasing is 49.5%-owned by the Amen Bank Group and is listed on the Tunisian Stock exchange. Tunisie Leasing will be playing a major role in MLA as
- the largest shareholder,
- co-sponsor with Amen Bank, and
- technical assistance provider.
Amen Bank was founded in 1971 as Credit Foncier de Tunisie. Its ownership structure is mainly held by private Tunisian interests. Its principal shareholder is the Ben Yedder family. Amen Bank is Tunisia’s fifth-largest bank and the second largest private sector bank. Amen Bank is listed on the Tunisian Stock exchange.
Tunisie Leasing and Amen Bank will jointly own more than 50% of MLA. MLA’s other shareholders are FMO, Proparco, Maghreb Private Equity Fund CFAO. |
| Total project cost and amount and nature of IFC's investment |
MLA will be capitalized at DZD 1.2 billion (around 16.7 million equivalent). IFC’s proposed investment will be up to DZD 810 million (around $11.2 million equivalent), and is broken down between:
- an equity investment of up to DZD 210 million (around $2.9 million equivalent) for a shareholding of 16.7% in MLA; and
- a guarantee of up to DZD 600 million (around $8.3 million equivalent) to enable MLA to obtain local currency funding from a local bank. |
| Location of project and description of site |
| The headquarters and first branch of MLA are located in Algiers, Algeria. |
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| Anticipated development impact of the project |
The proposed project is expected to have a high development impact in the following areas:
- Access to finance for SMEs: The project will provide SMEs with increased access to finance, many for the first time in the formal financial sector.
- Increased private sector competition in the financial sector: The project is expected to promote growth and increase competition in the financial sector as the leasing industry grows and brings new players and instruments into the market.
- Transfer of leasing know-how and best practice: The project will reinforce the transfer of new technologies and know-how in leasing activities. Tunisie Leasing, which has established a strong franchise in Tunisia, will bring to bear its management, operational and technological expertise to this project. |
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| IFC's expected development contribution |
IFC’s role in the project will be the following:
- provide support to a new private sector institution, and
- provide access to term local currency funding for MLA through a guarantee. |
| Environmental and social issues - Category FI |
This is a category FI project under IFC's environmental and social review procedure. MLA will be required to submit documentation of its Environmental and Social Management System, appoint officers to be responsible for implementing the system, and provide annual environmental/social performance reports to IFC.
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| For inquiries about the project, contact: |
Mr. Ahmed Abdelkefi
Maghreb Leasing Algerie
31 Av. Mohamed Blekacemi
El Madania – Alger, Algeria
Tel: +213 (0) 21 77 17 78
Fax: +213 (0) 21 77 17 79 |
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| For inquiries and comments about IFC, contact: |
General IFC Inquiries
IFC Corporate Relations
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: +1-1202-473-3800
Fax: +1-202-974-4384
E Mail: Webmaster |
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