The Anchor Group has completed the raising of ESG (environmental-social-government) bonds in the amount of NIS 50 million.
Anchor states that the loan portfolio that will support the securitization consists of about 530 loans, with an average loan amount of about NIS 120,000. Also, the portfolio is characterized by high industry dispersion.
Anchor’s bond is built on a model of four layers of financing, which include a protection layer from philanthropy funds and three investment layers with different interest rates and risk, with each layer having a repayment period (between 2.75 and 5 years) and varying conditions.
The institutional entities that invested in the bonds include Bank Hapoalim, the Gilad Pension Fund, the tomorrow’s provident fund management company, Mifal HaPais and the Hebrew University employees’ provident fund. B2, Assaf Harlap – Social Investor and Member of the Board of Directors of Colmobil, Hanoch Barkat – Chairman of the Dualis Foundation and former CEO of Apax, Andrew Goldman, Yonatan Koshitsky and Joseph Gitler.
The securitization was led by the Deputy CEO of the Ogen Group, Moshe Daniel, accompanied by Ira Friedman, Senior Capital Markets and Impact Investment Expert, Adv. Ronen Winograd, Adv. Tali Yaron Eldar, Adv. Amiram Boget, CPA Meir Mishaeli from -PWC. The trustee is Shane Capital Market Trust Services.
Elon Pinchas, Chairman of the Board of Directors of Anchor – Social Bonds, stated that “I would like to express great personal appreciation to the great team of Anchor and the professional advisers for the successful and groundbreaking recruitment in the local market. This innovative bond is the first of its kind, and we are already planning The next bonds will be issued this year in the amount of NIS 120 million. These raising funds will enable the continued activity of the Anchor Group to support small businesses and non-profit organizations.
Naama Halevi Peer, director of the Center for Social Banking at Bank Hapoalim: “This is a groundbreaking move in which the bank invested in ESG Group’s ESG bonds, led by the Center for Social Banking. In recent years, we have been working hard to strengthen the small and medium-sized business sector, one of the pillars of the Israeli economy. “The date of the bond launch is not coincidental, we are in the midst of the fifth wave. Also in this wave we are witnessing the difficulty and vulnerability experienced by small businesses since the Corona began, and are proud to add a significant tier to our support for small businesses in this partnership with Anchor.”
Anchor Group is a socio-financial group that includes six non-profit organizations that provide credit and financial empowerment to economically weak populations in Israel. To date, Anchor has provided credit in the amount of NIS 1.5 billion. In 2021, Anchor provided more than NIS 200 million in credit.