ACELI AFRICA INC

ACELI AFRICA'S TARGET IS TO UNLOCK $1.6B IN PRIVATE SECTOR LENDING FOR INCLUSIVE AGRICULTURAL SMES IN EAST AFRICA THROUGH YEAR-END 2030. WITH ACCESS TO LENDING, AGRICULTURAL SMES CAN DRIVE IMPROVEMENTS IN THE PRODUCTIVITY AND MARKET ACCESS OF SMALLHOLDERS, WHILE CREATING JOBS ACROSS THE VALUE CHAIN. DURING OUR FIRST FOUR YEARS OF OPERATIONS (SEPTEMBER 2020-DECEMBER 2024), 42 ACTIVE ACELI LENDING PARTNERS REGISTERED LOANS TOTALING $283M ACROSS THE INITIAL FOUR FOCUS COUNTRIES (KENYA, RWANDA, TANZANIA, UGANDA) AND NEWLY, ZAMBIA. OF THESE LOANS, 61% ARE TO NEW BORROWERS (DEFINED AS NOT HAVING RECEIVED A LOAN OF $25K+ FROM ANY LENDER IN THE PRIOR THREE YEARS), 57% MEET OUR HIGH STANDARD FOR PROVIDING ECONOMIC OPPORTUNITIES TO WOMEN, 69% CONTRIBUTE TO FOOD SECURITY IN AFRICA, AND 17% MEET OUR CLIMATE & ENVIRONMENT IMPACT BONUS. THE SMES RECEIVING ACELI-SUPPORTED LOANS HAVE CREATED MARKET ACCESS FOR 1.5M SMALLHOLDER FARMER SUPPLIERS AND EMPLOYMENT FOR 52K FULL-TIME WORKERS.AS OF DECEMBER 2024, 42 LENDERS HAD SIGNED LEGAL AGREEMENTS WITH ACELI AND AN ADDITIONAL 8 WERE IN NEGOTIATIONS OR IN THE PROCESS OF SIGNING. OF THE 42 ACCREDITED LENDERS, THREE-QUARTERS ARE COMMERCIAL BANKS OR NON-BANK FINANCIAL INSTITUTIONS DOMICILED IN EAST AFRICA. ACELI AFRICA'S TARGET IS TO INCREASE ADDRESSABLE DEMAND BY PROVIDING TECHNICAL ASSISTANCE TO OVER 1000 AGRICULTURAL SMES THROUGH YEAR-END 2030 TO IMPROVE THEIR CAPACITY TO ACCESS AND MANAGE FINANCE. ACELI OFFERS A TECHNICAL ASSISTANCE PROGRAM FOR EARLY-STAGE AGRICULTURAL SMES WITH ANNUAL REVENUES OF $50K-500K, LIMITED ACCESS TO FINANCE, AND BASIC NEEDS IN BUSINESS AND FINANCIAL MANAGEMENT. OUR PARTNERS IMPLEMENT THE HYBRID TECHNICAL ASSISTANCE PROGRAM, WHICH INCLUDES A SERIES OF WEBINARS AND COLLABORATION IN A PEER LEARNING NETWORK PAIRED WITH INDIVIDUALIZED COACHING FOR THE LEADERSHIP TEAM FROM EACH AGRI-SME AS WELL AS IN-PERSON KICK OFF SESSIONS FOR NETWORKING. THE SELECTED SMES ARE LOCATED ACROSS ALL FOUR FOCUS COUNTRIES. OVERALL, PARTICIPATING SMES PROVIDE POSITIVE FEEDBACK FROM THE PROGRAM. WE HAVE ALSO DEVELOPED AND LAUNCHED OUR TA OFFERING FOR GROWTH AND LATE-STAGE AGRICULTURAL SMES THAT HAVE OUTGROWN THE BASIC NEEDS OF EARLY-STAGE SMES BUT STILL STRUGGLE TO QUALIFY FOR AND/OR MANAGE FINANCING (ANNUAL REVENUES OF $500K-$5M). OUR OFFERING IS TARGETED TO ADDRESS SPECIFIC BARRIERS, INCLUDING INTERNAL OPERATIONS, DATA MANAGEMENT, AND MANAGERIAL CAPACITY. TECHNOSERVE IS THE SERVICE PROVIDER FOR GROWTH-STAGE SME COHORTS. IN LIGHT OF THE DIVERGENT AND SPECIFIC NEEDS OF LATE-STAGE SMES, WE HAVE CONTRACTED SEVEN PROVIDERS ACROSS ACELI'S FOUR FOCUS COUNTRIES TO OFFER CUSTOMIZED TO TA TO LATE-STAGE SMES. INTERESTED SMES UNDERGO A DIAGNOSTIC AND ARE OFFERED A VOUCHER THAT COVERS A PORTION OF THE COST OF TA.

ACELI AMERICAS FACILITATES LEARNING EXCHANGE THROUGH AN ADVISORY PARTNERSHIP WITH A MEXICAN NON-PROFIT ORGANIZATION TO DESIGN A LOCAL INCENTIVE FACILITY, COA. ACELI PROVIDES STRATEGIC SUPPORT TO INFORM COA'S SET-UP AND DESIGN AND GATHERS LEARNING TO INFORM FUTURE ACELI ADVISORY.