Solutions

For banks, MFIs, telcos, and digital lenders, non-performing loans (NPLs) create capital drag, reputational risk, and regulatory pressure. NPL sales convert illiquid assets into cash by transferring them to specialized investors.

Our Process:

1. Portfolio Preparation — audit & clean data tapes, digitize records, borrower segmentation.
2. Valuation & Analytics — recovery modeling, cashflow projections, market benchmarks.
3. Sale Structuring — pool design, auction vs. bilateral, reserve pricing.
4. Investor Marketing — data rooms, teasers, targeted investor outreach, Q&A.
5. Execution & Closing — bid evaluation, SPA/APA support, clean handover & audit trail.

Benefits:

• Liquidity creation & stronger capital ratios
• Faster regulatory compliance on NPL reduction
• Reduced burden on internal collections teams
• Market credibility as a proactive lender

Investing in NPLs can deliver double-digit IRRs—yet without strong local insight, execution risks are high. We bridge this gap, sourcing portfolios and ensuring investors acquire assets aligned to mandate and capable of delivering modeled returns.

Our Process:

1. Deal Flow & Sourcing — access to vetted, off-market portfolios.
2. Due Diligence — sampling, segmentation, recovery forecasting, stress-tested models.
3. Transaction Support — bid strategy, negotiation, legal coordination.
4. Servicer Management — agency selection, SLA/KPI design, collections governance.
5. Performance Oversight — monthly portfolio reviews, dashboards, strategy resets.

Benefits:

• Quality deal flow aligned to mandates
• Certainty in execution and faster closing
• Oversight of servicers to protect IRRs
• Independent, transparent reporting

Africa's infrastructure and growth sectors require billions in capital, yet local commercial loans are short-tenor and expensive. We structure projects with ECAs, DFIs, and private credit funds to unlock longer, cheaper, and de-risked financing.

Our Process:

• Originate and qualify impactful projects
• Fix bankability gaps (financial models, ESG, permits, governance)
• Structure blended finance stacks (ECA cover, DFI A/B loans, guarantees, PRI, local currency/hedging)
• Engage targeted financiers and coordinate diligence
• Negotiate and manage closing

Benefits:

• Lower borrowing costs via concessional financing
• Longer repayment aligned with project lifecycles
• Risk-sharing through guarantees and political risk insurance
• Greater investor confidence and co-investment attraction

Robust financial markets require strong rules and infrastructure. In Africa's emerging credit markets, regulators must enable innovation (NPL sales, private credit) while protecting consumers. We support governments, central banks, and development partners in designing frameworks that balance stability and growth.

Our Work Includes:

• Share best practices for NPL sale frameworks, data standards, and template docs
• Establishing ethical collection codes and borrower protection frameworks
• Strengthening linkages to credit bureaus and other data sources to enable a 360-degree view of the portfolio
• Designing regulatory sandboxes for fintech and debt innovations e.g. NPL tokenization
• Convening educational forums for stakeholders across finance and policy on new instruments like debt sale and NPL securitization

Benefits:

• Lower systemic NPL ratios
• Liquidity and capital recycling for lenders
• Increased global investor confidence
• Balanced consumer protection