Walkers has advised African Frontier Capital, Mauritius (AFC) on the Jersey law aspects of the expansion of a $127m receivables financing structure.
The structure is expected to finance the provision of improved energy access to 1.9 million people living off grid in Kenya and save more than 600,000 tons of greenhouse gasses.
Under the original transaction, Brighter Life Kenya 1 (BLK1) – an indirect subsidiary of AFC incorporated in Jersey – was set up to acquire pay-as-you-go solar home system accounts receivables from d.light Kenya, providing d.light Kenya with flexible working capital to finance its continued growth.
BLK1 was originally financed by way of a $20m senior debt facility provided by the US International Development Finance Corporation as cornerstone senior lender.
Due to the success of the structure, Norfund, the Norwegian investment fund for developing countries, has agreed to be a co-senior lender and provide BLK1 with $15m of additional senior debt, which will enable the expansion of the receivables financing structure.
Nigel Weston, Partner at Walkers, and Tristan Maultby, Senior Counsel, worked on the transaction, alongside Allen & Overy and Kaplan & Stratton.