London based TLG Capital announced today that it has further increased the size of its Atlas Mara (LON: ATMA) facility by US$20 million via its Credit Opportunities Fund.
This second facility brings TLG total investment to US$30 million (an initial US$10 million was funded back in January 2019) and marks the strengthening of the relationship between the firms and funded by TLG primarily due to the enhanced credit profile and structure of the 2nd tranche.
Atlas Mara is successfully delivering on its decision to focus on its core markets; with the sale of its non-core assets to Equity Bank Kenya, it will focus on increasing profit margins in Nigeria, Zimbabwe, and Botswana.
Equity Bank Kenya is the 2nd largest listed bank in East Africa by market capitalisation. As a result of the sale, Atlas Mara will own c.6-7% of Equity Bank. In addition, Atlas Mara has increased its ownership of Union Bank Nigeria to 49.9%.
Atlas Mara has previously communicated its intention to become a majority owner of Union Bank. Union Bank Nigeria is Atlas Mara’s largest asset with a balance sheet of c.$5Bn. Its consolidation with Atlas Mara will grow the existing balance sheet of Atlas Mara threefold.