|
Page
3 From 5
Collateral
ICD may accept any of the following forms of collateral/guarantee
for its financing:
i. Land (real estate within the boundaries
of a municipality)
ii.
Building
iii. Plant and equipment
iv. Quoted shares
v. Unquoted shares
vi. Bank guarantee
vii. Corporate guarantee
viii. Assignment of receivables
ix. Any other acceptable security.
The amount of financing granted will be dependent on the type
and value of the collateral provided.
Covenants
ICD will include in its terms and conditions both positive and
negative covenants to ensure that its interest as a financier/investor
is protected.
These
covenants shall cover, amongst others, the following areas:
i. Use of financing proceeds.
ii. Maintaining specific levels of
financial ratios so as to ensure the financial viability of the
project/company.
iii. Continuous commitment of the
original shareholders.
iv. Major changes in business affecting
its financial position.
Further, certain identified pre-disbursement conditions will be
imposed before the utilization of the financing by the client
and in cases where the regulatory requirements are not satisfactory
to ICD, additional covenants will be included.
Page
1
2
3
4
5
|
