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Tokio Marine HCC commits $100 million to IFC emerging markets fund
The evergreen fund targets up to $2 billion in total commitments and will finance private businesses in emerging and developing markets.
Tokio Marine HCC has committed $100 million as a seed investor to an emerging markets fund managed by BlueOrchard Finance Ltd., which was established by the International Finance Corporation, a World Bank Group member, Insurance Business reported. The deal extends a relationship that began in 2013 when the specialty insurer wrote its first credit insurance policy for IFC.
The report said Tokio Marine & Nichido Fire Insurance Co., Ltd. has also committed an additional $200 million, bringing Tokio Marine Group's anchor commitment to $300 million.
The fund is targeting up to $2 billion in total commitments and is designed to give institutional investors access to a diversified portfolio of IFC-originated loans across sectors and geographies in emerging and developing markets, the outlet said.
As an evergreen structure, investors can subscribe and redeem capital on an ongoing basis, subject to predefined redemption windows, and the $300 million first closing is intended to fund private businesses in emerging and developing markets.