The foundation uses Program-Related Investments to catalyze sustainable, scalable, and measurable impact. We have the flexibility to deploy funding tools that best serve these objectives. To date, this has included equity, debt, convertible notes, guarantees, and mezzanine or subordinated debt. We have also utilized Development Impact Bonds and Pay for Performance instruments. Funding is subject to regulatory provisions in each geography.
The interest rates are aligned with, and concessional to, market rates in each geography/sector.
The foundation’s shareholding is a function of its investment amount and the company’s valuation, which varies for every investment. In India, the foundation’s equity stakes range from 8 – 25%.
The foundation deploys equity capital in an early phase of an enterprise journey, typically Series A or B. In certain cases, we have also invested at Seed or Pre-Series A stage.
Yes. The foundation partners with high-quality, mission-aligned founders and management teams to support them in creating and sustaining scalable impact. We will typically nominates a representative to the Board of Directors of the enterprise.
The foundation uses similar impact measurement metrics for its support to nonprofit and for-profit enterprises. Depending on the programmatic objectives of the funding support, such measurement metrics can include change in learning levels, access to jobs, increase in income levels, etc.
The foundation evaluates each request in the context of its programmatic priorities and objectives. Evidence/measurement of positive social impact is a key filtering criterion for the foundation. Beyond that, investment requests are tested for financial viability, scalability, inherent risks, and strength of the founders and management team.
No. For investment requests, the foundation does not prescribe any standard format.