PHINMA EDUCATION HOLDINGS, INC.
Status: Approved investmentWhy disclosure?
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In case of questions
In case of questions, please contact us at disclosure@fmo.nl
Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
PHINMA Education Holdings Inc. (“PHINMA Education”) is a Filipino holding company of, at present, six schools in the Philippines, a training centre in Myanmar and a school management company that manages a tertiary school in Indonesia. The company strives to provide accessible, quality education (mainly tertiary) to students from lower- and middle-income families, so that they can empower themselves and their families.
What is our funding objective?
Upon satisfaction of conditions precedent, FMO will invest together with Kaizen Private Equity Fund II LP and the Asian Development Bank (“ADB”). The raised capital will be used by PHINMA Education to finance expansion projects in existing schools and acquire new schools in new geographic areas in the Philippines and other qualified countries, specifically in Southeast Asia. This will help to expand the PHINMA Education network and increase the number of students receiving quality education.
Why do we fund this investment?
The growth of PHINMA Education and its number of students will contribute to reducing inequalities, as students from lower- and middle-income families will gain access to quality education. Better education in turn increases the opportunities for alumni to find decent work and ultimately leads to economic growth.
What is the Environmental and Social categorization rationale?
E&S Category is B, as the investment in PHINMA Education and its activities pose limited environmental and social risks. IFC PS triggered are 1-3. The main E&S risks for this investment are related to: (i) Safety and security of the students; (ii) Emergency response in case of fire and natural disasters; (iii) Labour conditions of teachers and staff; (iv) Health and safety, especially during construction and renovation works of buildings on existing campuses and newly acquired schools. An ESAP, which includes the implementation of an ESMS to manage all the above risks on a continuous basis, has been agreed.
- Region
- Asia
- Country
- Philippines
- Sector
- Infrastructure, Manufacturing and Services
- Effective date
- 10/7/2019
- Total FMO financing
- USD 12.30 MLN
- Funding
- FMO NV
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Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - B