The Managed Co-Lending Portfolio Program is a new IFC Syndications product that allows institutional investors the opportunity to passively participate in IFC’s future loan portfolio.
Investors provide capital on a portfolio basis, which can be deployed by IFC in individual investments across all regions and sectors in accordance with IFC’s strategy and processes.
MCPP investor approval is sought pre-mandate; project appraisal, approval, commitment, and supervision are managed directly by IFC with the MCPP investor passively following IFC decisions.
MCPP complements IFC’s existing B Loan and Parallel Loan platforms. Through MCPP IFC can expand its base of co-lending partners to include investors that do not have the capacity to invest on a “deal by deal” basis.
IFC and MCPP investors agree on eligibility criteria, and IFC commits to offer co-investment opportunities to MCPP investors in all eligible loans, subject to borrower consent
MCPP investors approve participation in projects at or pre-mandate and then delegate all aspects of project structuring and supervision to IFC
MCPP investments match IFC A Loan terms, providing an additional source of long-term capital for IFC clients in emerging markets
IFC acts on behalf of MCPP investors and is the only interface with the borrower
The People's Bank of China, through SAFE, its State Administration for Foreign Exchange, is the first partner in the program. SAFE is a long-standing partner of IFC and the PBOC has pledged $3 billion under the MCPP platform to be committed in the next six years.
IFC is identifying additional investors to join the MCPP platform.