| Project Detail |
This summary covers the equity and/or shareholder loan investments by Kasada Hospitality Fund LP (Kasada) of Mauritius and/or its Special Purpose Vehicles (established or yet to be established) for the acquisition of Ikoyi Hotels Limited, a Nigerian company that owns and operates the Ikoyi Hotel located in Lagos, Nigeria.
MIGA has been requested to provide political risk insurance coverage for up to US$38.07 million against the risks of Expropriation (Expro) and War and Civil Disturbance (WCD) for a period of up to 15 years. This project is part of a Master Contract issued to Kasada Hospitality Fund LP on June 30, 2021.
Kasada Hospitality Fund is a private equity fund with a focus on the Sub-Saharan Africa hospitality sector. The fund is owned by Accor (the 6th largest hotel management company in the world) and the Qatar Investment Authority (Qatar’s sovereign wealth fund) as limited partners. Over the next three years, Kasada expects to establish a portfolio of up to 20 hotels requiring a total investment (debt and equity) of approximately US$1 billion.
Environmental Categorization
The project is a Category B under MIGA’s Policy on Environmental and Social Sustainability. Click here to view the project’s Environmental and Social Review Summary and Environmental and Social Action Plan.
Development Impact
The project is expected to contribute to direct and indirect job creation with spillover effects across the tourism supply chain in Nigeria. The project is also expected to result in positive E&S and climate impacts, based on Kasada’s commitment to pursue EDGE certification. In terms of foreign investment effects, the project should lead to positive demonstration effects on the adoption of sustainability practices, while contributing to the creation of a business hub through the promotion of business-related infrastructure. In addition, the project is expected to mobilize capital from foreign investors to the hospitality sector in Nigeria. |
