Expressions of Interest to Receive Capital Infusion

Type: 
RFP
Posted: 
01 Nov 2018
Closing: 
07 Dec 2018
Document TitleSize
PDF icon Original EOI78.24 KB
About the organization: 

Deutsche Bank Microcredit Development Fund, Inc. (DB MDF) was founded in 1997 as a 501 (c) 3 non-profit entity to promote economic development in underserved communities. DB MDF’s capital has been utilized such that it has deployed financing totaling US$ 15 mm over its history.

About the Job: 

On the occasion of the 20th anniversary of the DB MDF, its Board of Directors has committed to further advance its mission to promote economic development in underserved communities by entering into a strategic investment partnership with a mission-aligned organization. As part of the search process, DB MDF invites organizations to submit expressions of interest before 7 December 2018. The selected partner will utilize the approximate $5 million corpus of the Fund to further investment innovation in the evolving practice of stimulating market opportunities to serve the needs of the poor in the developing world.

While over the past two decades DB MDF has worked exclusively in the microfinance sector, DB MDF will consider expressions of interest from organizations that are pioneering new investment practices in other sectors, including, but not limited to, healthcare, education, clean energy access, internet connectivity, water and sanitation. As well, proposals that further evolve the microfinance sector to reach uniquely challenged communities, are welcome to apply (e.g. small holder farmers, refugee and displaced populations, ethnic minorities).

DB MDF’s capital cannot be used for philanthropic grant-making but is rather expected to continue to be deployed in a manner that will have a reoccurring impact; leveraging larger capital opportunities through taking greater risks and prioritizing high impact over financial return. The capital can be used as debt, as guarantees, as equity, within blended capital structures et al. Proposals are especially sought that further innovate capital tools to serve the poor, for example, pay-for-performance structures, variable payment obligations and new forms of equity investments.

Submissions received will be assessed in consideration of DB MDF’s original mission and the evolving practice of impact investing. After a review of the EOIs, a selected group of up to five organizations will be asked to submit more detailed plans based on guidelines to be issued. With the involvement of DB MDF’s Board, the partnership will commence for a limited transition period aimed to assess the viability of the proposed investment concept and the partnership. A successful outcome will result in DB MDF’s capital and its management fully transferred to the selected partner.

How to Apply: 

Organizations interested in applying to partner with DB MDF are requested to submit an “Expression of Interest” (EOI) of up to two pages, describing the organization’s past work and the proposed plan to deploy DBMDF’s capital. Copies of guidelines for submitting the EOI can be received by emailing Christian Novak at DBMDF@fmadivisors.ca. FMA - Frontier Market Advisors (“FMA”) has been mandated to advise DB MDF in the tender process.