Tbilisi/Amsterdam, June 29: Financial Inclusion Organization Crystal has signed a $1.2 million subordinated loan agreement with its long-standing partner Triple Jump through AMP of ASN Impact Investors. The facility will play an important role in growing Crystal’s capital base and enabling the organization to expand the services across Georgia. Funding will be utilized in financing micro, small and medium size enterprise (MSMEs) clients across Georgia.
Crystal and impact investment manager Triple Jump have partnered since 2016 and have successfully completed up to 10 transactions. This is the first subordinated loan agreement between both organizations, pointing to solid and impactful partnership.
Ilia Revia, Chief Executive Officer of JSC MFO Crystal, said: “We are glad to have secured this transaction with Triple Jump. Subordinated loan increases our capital position and empowers us to expand our services across Georgia.”
Tamar Basilashvili, Senior Investment Officer at Triple Jump, said: “Crystal is a long standing partner of AMP and Triple Jump. The transaction is fully in line with the Strategy of the Fund as well as the mission of Triple Jump of increasing our impact in Georgia through growing our client base with MFIs and second tier banks. By supporting Crystal, AMP and Triple Jump contributes to improving access to finance for low and middle income clients and the micro and small businesses in Georgia, especially in rural areas. Crystal’s inclusive mission and activities fit well with the Fund’s mandate. The sub debt facility is aimed to support the MFIs capitalization level in a short term before transformation into a microbank.”
ASN Microkredietfonds was established in 1998 by ASN Impact Investors and Oxfam Novib. The Fund allows retail investors to invest in financial service providers in developing countries by issuing shares, which can be traded on a daily basis. ASN Microcredit Fund invests in expanding and mature financial service providers in Africa, Asia, Europe, and Latin America. As an open-ended fund, the Fund can offer long-term equity and follow-on investments, along with senior and subordinated debt. As of October 2015, ASN Microcredit Fund became the first microfinance investment fund with a listing in Europe.
JSC MFO Crystal is the leading financial inclusion organization and the largest by assets non-banking financial institution in Georgia. It manages the loan portfolio of GEL 416.7 million, employing more than 1,000 members of staff, operating through 48 branches and serving more than 115,000 unique customers across Georgia. Crystal acts as a platform for economic development providing micro and small entrepreneurs and farmers with innovative financial products and services. Crystal is the first Fitch-rated non-banking financial institution in the region. In December 2018, Crystal received nation’s responsible business award “Meliora“.
For more information, please visit: https://ir.crystal.ge/