EA Promoter Funding Programs

Many promoters in Emerging Market tend to be the main business drivers and key management as well as the largest shareholders. With new regulations many of these promoters can now pledge their shareholding with offshore investors. What this means is that a promoter can in essence raise External Commercial Borrowings or any other alternative borrowing for shares held locally. Since in many Emerging Market countries foreign debt is at lower interest rates (in equivalent dollar terms) than local debt then this is a special consideration that many promoters are taking to help their companies finance optimally. We and our Partners can assist in this very speciliased financing techniques which include:

• Arranging external financing

• Arranging the pledge of shares

• Setting up the necessary offshore special purpose vehicles (SPVs)

• Perfecting security

• Structuring how the funds go back into the corporate entity