TerraPay, a British fintech company specializing in payment infrastructure, recently secured $100 million in fundraising efforts, led by the International Finance Corporation (IFC). Following this success, the IFC has announced plans to grant a loan of $30 million to the Mauritian subsidiary of TerraPay to support its working capital.
The loan will be complemented by a syndicated loan of $60 million from the IFC and its partners, and will have a maturity of four years, with a grace period of two years. The primary purpose of the loan is to strengthen the working capital of TerraPay Mauritius, the local subsidiary of TerraPay Holdings Limited. The IFC has outlined that the loan will also create a fundraising model for future efforts.
The IFC is a member institution of the World Bank Group, and this initiative is expected to facilitate access to international fund transfers and cross-border payments. Additionally, it will support the growth of TerraPay Mauritius, which specializes in international remittances and cross-border commercial payments.
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In a statement, the IFC explained that the loan facility will help TerraPay Mauritius to raise the working capital it needs, further supporting its activities in facilitating international remittances and cross-border commercial payments.
The project is still subject to approval by the IFC Board of Directors, but it is expected to receive the green light soon. With the support of the IFC, TerraPay Mauritius is set to enhance its financial capabilities, ultimately leading to greater access and more efficient cross-border payment options.
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert.
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard