Click here to load reader
Upload
lip
View
61
Download
1
Embed Size (px)
Citation preview
Opportunity for Everyone
Disclaimer : Living in Peace, Japan-based NPO, does NOT solicit investments or sell financial products.
LIP is a part-time organization Representative Director Taejun Shin
Project Manager Akiko Sugiyama
Number of directors 7
Number of part-time workers 50+
Number of supporters 800+
Email transaction / day (incl. weekend) 100+
Range of working hours / day (incl. weekend) 0 – 20
Main office location Cloud
Cups of coffee I have had since establishment 5,000+
LIP Microfinance for MDGs
LIP (Japan)
CARD MRI
(Philippines)
Samic Limited
(Cambodia)
Investors (Japan)
Partnership
TK Agreement Intermediary
Planning / MFI selection / Monitoring
Investment & Operational
Support
Investment
Music Securities
(Japan)
Components of DD Process*
Management Quality • Strategy • Management Capability • Information Management System • HR / Governance
Financial Performance • Portfolio Quality • Operation Sustainability • Balance-sheet Quality • Cash Flow Stability
Country Performance • Macro-economic Performance • Political Stability • Quality of MFI Regulation • MFI Competitive Situation
Social Performance • Operating Area • Borrower Type • Contents of Service • Social Responsibility
*Self-audit will be conducted separately
Term proposal
1st financing Oct 2010, USD 100,000
2nd financing* Dec 2010, USD 100,000
3rd financing* Mar 2011, USD 100,000
Investment currency USD
Type of financing Preference Share (No voting right)
Expected return Floating **
Maturity 2011 December
Extension / Refinancing option Yes
Maximum Maturity 2013 December
*Contingent upon PAR test, i.e. when PAR level ameliorated to certain level, second financing is conducted ** See next page
Investment Return Calculation
Type Profit Driven*
Profit calculation base Net income of Chamkar Leu 2009
Investment return Base return + Floating Return
Base Return 6.00% per year
Floating return 1.0% (if positive growth) * profit growth 3.0%( if negative growth) * profit growth**
*Due to Japan’s security investment regulation, the financing should be profit-driven, i.e. the investment return is related to accounting profit ** Profit growth = Chamkar Leu net income of the year / net income of year 2009
Investment Return Calculation – ctnd.
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
-4.00 -3.00 -2.00 -1.00 0.00 1.00 2.00 3.00 4.00 5.00
Investment Return
Profit Growth
Investment Return Summary
Schedule
Until June 2010 Dud diligence conducted, agreement on MOU
Until early July 2010 Investment committee approval
Until late July or early Aug 2010 Documentation
From Aug 2010 Initiate fund-raising