FM6I: pre-selection of a first list of 17 sectoral and thematic fund management companies

by times news cr

2024-05-07 12:11:13

This selection is part of the call for expressions of interest launched by the FM6I for the selection of sectoral and thematic fund management companies whose purpose is to catalyze investment, accelerate growth and to promote job creation, indicates the Fund in a press release.

The establishment of these sectoral and thematic funds constitutes one of the main modes of intervention of the FM6I, in accordance with the High Royal Guidelines contained in the Speech of October 9, 2020, emphasizing that “according to the areas deemed priority at each stage and, depending on the needs of each sector, the Fund will rely, in its interventions, on specialized sector funds attached to it.

These funds will contribute to the emergence of a robust investment capital industry in Morocco, meeting the best international standards, continues the same source.

The cumulative projected size of these first sectoral and thematic funds is estimated at a minimum of 20 billion dirhams (MMDH). The FM6I will contribute up to 33% of the size of each fund as part of an overall envelope of around 6 billion dirhams. The remainder will be raised by the pre-selected management companies from third-party investors, local or foreign. This is one of the main objectives of the FM6I to have a multiplier effect on the amounts invested by it.

The first list of pre-selected management companies includes 3 management companies in industry, 2 in tourism, 1 in agriculture, 1 in transport and logistics and 10 generalists, the press release specifies.

The generalist funds have been segmented into several categories according to the sizes of targeted companies and have been chosen to ensure coverage of all categories, in particular small and medium-sized companies.

The first pre-selected management companies present diversified and complementary profiles, including 9 national management companies, 7 international management companies and 1 mixed consortium. They cover all priority sectors and themes, in accordance with the FM6I investment policy, including its risk diversification policy.

And remember that FM6I received 46 applications covering a wide spectrum of sectors and themes. A rigorous selection process has since been initiated. All the bidders whose files complied with the specifications had their files analyzed and were interviewed by the Mohammed VI Fund, assisted by national and international experts experienced in the selection of management companies and benefiting from a in-depth knowledge of national issues in this area.

The FM6I intends to launch during the first quarter of 2024 a process for the establishment of specialized funds for startups, aiming to provide a financing offer adapted to their development and an innovative financial product in partnership with banks which will make it possible to strengthen the financial base of companies, without any dilutive effect on their capital.

It is, in fact, a subordinated debt product which will be offered to companies wishing to finance viable investment projects. Subordinated debt, while offering attractive financial conditions to companies, will thus make it possible to relieve the equity contribution constraint usually required by the banking system.

2024-05-07 12:11:13

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