Services for German Companies Investing Abroad

• DEG offers a range of services to German mid-sized companies investing in developing and emerging-market countries
• For companies planning investments in these markets, DEG can provide planning and structuring advice, provide grants for feasibility studies, finance pilot projects, and provide funding for projects with environmental benefits
• DEG’s “German Desks” in Lagos, Nairobi, Accra, Dhaka, Jakarta, and Lima can help and guide German companies through processes such as account creation through trade finance and transaction banking services to credit lines or investment financing for local trading partners
• DEG can provide direct loans to German companies investing overseas
  - Up to EUR 25 million
  - Tenors between 4 and 15 years
  - Loans are available in EUR, USD, and some local currencies
  - Collateralized by borrower’s fixed assets in the investment country
  - DEG requires that the investor contributes its share of equity
  - Available as project and corporate financing"
• DEG may provide direct investments in the foreign investments of German companies
  - DEG is always a minority investor
  - Case-by-case voting rights and seat on supervisory board
  - Clearly defined exit rules
• DEG also provides guarantees for foreign investments in local currency and grants for training staff and improve energy efficiency

Financing for Financing Institutions

• DEG can provide direct loans to financial institutions in order to promote credit lines for SMEs as well as investments in energy efficiency
  - Tenors typically between 4 and 15 years (but could be longer)
  - Loans are available in EUR, USD, and some local currencies
• DEG also provides equity capital to financial institutions
  - DEG is always a minority investor
  - Case-by-case voting rights and seat on supervisory board
  - Clearly defined exit rules
• DEG can also provide mezzanine subordinated financing to financial institutions
  - Tenor typically 10 years but could be longer
• May be convertible to equity

Funds

• DEG may provide advisory services to and make investments in private equity funds investing in emerging markets
  - Subscription generally as early as first closing
  - Representation of investors and advice for general partner through seat on the fund's advisory committee
  - Fund investments starting from USD 10 million and a DEG share of less than 20% in the final closing
• In some cases, DEG may provide loans to private equity funds

Project Financing

• DEG provides long-term project finance loans in the energy, transport, utilities, and telecommunications sectors
  - Tenors between 4 and 18 years
  - Loans are available in EUR, USD, and some local currencies
  - Collateralized by borrower’s fixed assets in the investment country
• DEG may also provide equity investment and mezzanine financing for project financings