IFC mulls funding African mid-scale business hotel group

The IFC is proposing an A-Loan investment of up to €20.9 million to African Hotel Development Luxembourg SAS, a pan-African mid-scale business hotel owner. In addition, IFC as implementing entity of the International Development Association Private Sector Window-Blended Finance Facility, is expected to provide up to $18.5 million in the form of a concessional subordinated loan.

African Hotel Development Luxembourg SAS operates 21 hotels in Africa, under the brand Onomo. To fill the gap in the provision of region-wide midscale branded hotels that meet international standards, the company aims to upgrade and expand in capacity and geographically through (i) the extension and renovation of its existing hotel in Abidjan, Côte d’Ivoire, (ii) the financing of the recently completed refurbishment of its existing hotel located in Dakar, Senegal, (iii) the refurbishment of its existing hotel in Bamako, Mali, and (iv) the development of two greenfield hotels in Yaoundé, Cameroon and Djibouti City, Djibouti; and (iv) the refinancing of existing debt.

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