ABOUT US

Hura* Capital is an advisory boutique specializing in impact investing. We support start-up funds and innovative companies - mainly in the financial inclusion, agriculture and access-to-energy spaces - using a principal consultant and a network of project-specific talents.

We leverage our expertise and network in numerous emerging and frontier markets to help you. We design solutions that are tailored to your needs and context. These include:

Structuring innovative funds and financial vehicles with the purpose of mobilizing (blended) capital toward projects in underserved communities and frontier markets;
Advising financiers on their investment strategy, sourcing, deal structuring and due diligence;
Helping companies identify capital needs and fundraise;
Conducting training related to social businesses and impact investing.

We are technologically savvy. We have worked with fintech and blockchain-based projects. We understand the potential of those tools in doing good (and their limitations). We can advise you on assessing the opportunities in this fast-evolving market with impact and business lenses.

We have a track-record of delivering tangible results to our clients. We combine strong, fact-based, analytical competencies with solid inter-personal and intra-corporate relationship skills, which allows us to consistently deliver quality and actionable outputs

* Hura is a fast-growing tropical tree covered in spines. We saw in it an analogy for growing while protecting against risks, so we picked it as our name.

About

InsIghts

ESG: The Rise and The Mires

The concept of responsible investing has taken on various buzzwords in the world of economics and finance: we have all heard it being...

GDP size vs. the “real economy”

The Russia Ukraine war and the ensuing sanctions have revealed crucial information about the "global economy." Western analysts made fun...

Balance Sheet refresher

Understanding the Balance Sheet is important to monitor the financials of a business, providing a snapshot of financial data. Its...

Blog

some recent work

MINI-GRIDS FINANCIAL Due diligence

An impact investor was considering a debt transaction with a mini-grid developer and operator in Madagascar. As a first stage, we designed the investment policy and criteria for mini-grid models. Based on that framework, we supported the investment team with the business and financial due diligence of the opportunity, including conducting meetings with the management team, the review of the financial model and the assumptions analysis. The first mini-grid deal was subsequently approved by the Investment Committee.

rural electrification finance

The electrification rate is still very low in most SSA countries. Ambitious rural electrification targets associated with substantial funding efforts are needed. As part of a consortium, and thank to funding from the World Bank, we helped draft the rural electrification roadmap for Mozambique addressing the supply and affordability gaps toward full energy access in the country. We also led the design of a blended finance facility to be managed by FUNAE (Mozambique's Energy Fund), to attract more private sector players into the local off-grid energy market. The $20m Facility will be launched in 2023

OFF-BALANCE SHEET FINANCE STRUCTURING

An agribusiness operating in various emerging markets in considering innovative financing solutions to scale-up without weighting on its balance sheet. We led the design of a $10m off-balance sheet financing facility for the company including : legal structures to be followed, a comprehensive financial model with several portfolio quality and funding rates assumptions, term sheet and associated data room

BUSINESS & FINANCIAL MODELLING

A climate tech company active in Africa was planning to raise money after a couple of years of successful revenue generation. We have designed and developed the excel model that offers ease of use and analysis by investors, while allowing the management to properly plan liquidity on a very granular basis. Such work was similarly done with several clients (including leading asset managers in the space) to help them test their assumptions, effectively present their projections and raise debt & equity

Projects

They Trust US

Companies

Team

founder

Hatem mahbouli, cfa

Founder & Principal

Hatem is an investment professional with extensive experience in private-sector development and impact investing in Asia and Africa. He has sourced and led various debt and equity facilities, including term sheet negotiation, due diligence, syndication of co-investors, financial analysis, contracting, hedging and design of ESG action plans. Transactions and projects have included: equity investment in a greenfield Microfinance bank in Rwanda; equity investment in the first global gender-focused SME debt fund with IFC; the first SME Guarantee Fund in Tajikistan with DEG; innovative finance for solar energy startups in West Africa; receivable finance facility for PAYGO kits in Kenya; EU-funded country line for the energy sector in Zambia, etc. He is very familiar with DFIs, the impact investing industry and impact-focused structures (development impact bonds, result-based finance). He has also contributed to several investment and electrification strategies for private and public organization (utilities, rural electrification agencies). He has held various board and investment committee memberships.

Hatem holds a master's degree in Information Science from Telecom SudParis and a master's in Business Administration from Georgetown University. He is also a CFA charterholder.

Resources

Hura Capital Agri Facilities Database

(Latest update: Oct 2020)

Prepared by Charlie Killingbeck

Despite its importance, Agri SMEs face a significant funding gap, estimated at $65 billion across Sub-Sharan Africa alone. Information asymmetries in the market remain a persistent barrier and have resulted in default rates double those found in other developing regions.

Guarantees are a de-risking instrument being used in the Agri sector to address the higher risk levels and incentivise private sector investment. Similar to an insurance policy, a guarantee provides the investor with protection against commercial and non-commercial risk. Providing the investor with limited recourse in a default event.

The Hura Capital Agri Facilities Database contains a comprehensive list of guarantee facilities available to Agri sector investors in Africa and other developing regions, along with each fund’s specific investment criteria.

Download Here

Hura Capital Covid-19 Facilities Database

(Latest update: Oct 2020)

Prepared by Charlie Killingbeck

Covid-19 has presented unprecedented challenges for businesses around the world, disrupting operations and supply chains. Companies are now facing significant cash-flow shortages to ensure the safeguarding of their operations.

Focusing on the Access to Energy and Financial Inclusion, the Hura Capital Covid-19 Facilities Database presents a range of private sector responses, and their funding requirements, to the liquidity shortage. The database will continue to be updated as more facilities come to market.

Businesses should also consider contacting existing finance providers; many funds are extending additional liquidity lines to existing investee companies. Such facilities have been excluded from this database. Additionally, national government schemes are not presented. The World Bank has collated a global database of all national Covid-19 support schemes; this can be accessed here.

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Digital Currencies Adoption in Frontier Markets

(October 2020)

Prepared by Ekin Sezgen

What are the hindrances and limitations of Digital Currencies adoption in Frontier Markets? We have started this document, still work in progress, to gather the most significant patterns and bottlenecks observed in these markets.

Download Here

Off-Grid Energy Financing Solutions

(November 2020)

Prepared by Charlie Killingbeck

Access to Energy projects and companies are hungry for funding, and increasingly resorting to off-balance sheet financing schemes. We have tried to summarize the main solution and challenges in this presentation. We hope you find it helpful!

Download Here

Resources

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