Amret, A Responsible Exit

Sell-side advisor in sale of combined 36% stake of one of Cambodia’s largest dedicated MFIs




PROPARCO, the French Development Finance Institution, and GRET, an international NGO for fair development, under French law.


Responsibly exit from combined stake in Cambodian MFI Amret, to a consortium of investors that will maintain Amret’s mission and support its growth with appropriate capital. Created by GRET in 1991, in the form of an experimental project to deliver microcredit to the rural population, and registered with the Ministry of Commerce of Cambodia as a private limited company in 2000, Amret has become one of the largest dedicated MFIs in Cambodia with an outstanding loan portfolio of about $288m and over 300k borrowers as of December 31, 2014.



Successful sale of a combined 36% stake to a consortium of IFC and two existing shareholders, FMO, and Advans S.A., SICAR.


With this transaction, Amret is well-placed to expand further into financially underserved Cambodian villages and provinces as well as into urban centres, rolling out new products to continue its mission of financial inclusion to low-income people as well as Micro, Small, and Medium-sized Enterprises (MSMEs).

Amret will become a full subsidiary of the Advans group, joining a network of MFIs which provide adapted financial services to MSMEs and low-income populations in developing, emerging and frontier countries. The investment by IFC, a member of the World Bank Group, will further diversify the shareholder base and help Amret to improve its corporate governance and disclosure standards to support its sustained growth in the future, at the same time as maintaining its social mission and values.


Enclude managed and structured the equity sale process, including producing a reference valuation to provide an indicative and preliminary range of pricing and drafting marketing materials for investor outreach.  Enclude managed the due diligence process, supported the negotiations with the consortium and coordinated international and local counsel to ensure closing according to Cambodian law. Enclude also managed interactions between the sellers and all stakeholders, including investors, current and incoming shareholders, senior management and regulators.


The transaction extended Enclude’s considerable experience in responsible exits (six in the past three years), working with clients not only to maximise value, but also to ensure that incoming shareholders are aligned with the institution’s mission, values and vision, and have the right strategic fit to secure long-term sustainability. It also enabled Enclude to develop further its reference valuation product and experience in the financial sector in SE Asia.