Overview of the project USAID-Ethiopia’s Agricultural Growth Program-Livestock Market Development project is a five-year project being implemented as part of the U.S. Government’s Feed the Future (FTF) Initiative. This project is USAID’s contribution to the Government of Ethiopia’s Agricultural Growth Program (AGP). The AGP’s goal “to end poverty and enhance growth” aligns with FTF’s goal to “sustainably reduce poverty and hunger.” The Project aims to foster growth and reduce poverty through improving the productivity and competitiveness of selected livestock value chains in AGP-targeted woredas of Tigray, Amhara, Oromia and SNNPR.
AGP – LMD catalyzes and facilitates private sector investments for various types of upgrades to occur in targeted livestock value chains. The project works to improve access to finance and investment of Micro Small and Medium Enterprises (MSMEs) as well as large agri-businesses involved at various levels of the value chains. The overall objective of AGP-LMD with respect to activities under component 3 is to improve access to finance and investment for businesses in the livestock value chain with the aim of improving productivity, competitiveness, and profitability of the dairy, and meat and live animals. Specifically, the project aims to ensure that innovations in upgrading production, processing, and marketing in the livestock sector are not constrained due to lack of capital.
The view that finance through and among value chain actors complemented by external financial interventions is likely to fuel investment on a sustainable basis, guides the strategic approaches of AGP-LMD in spurring investment in the livestock sector. Financing relationships within the value chain will be strategically encouraged through targeted Technical Assistance (TA) and advisory services, as well as grants for innovative approaches of working with other actors in the value chain.
AGP-LMD further assists businesses in accessing finance from banks and/or investors in the form of credit and equity financing. This work program will endeavor to facilitate investment deals between interested local and international investors with investee companies prepared for investment as part of the regional investment forums held in Oromia, Amhara, SNNPR, and Tigray.
Description of contract The purpose of the assignment is to follow-up on promising investor-investee linkages from the recently concluded Ethiopian Livestock Investment Forums (held in Oromia, Amhara, SNNPR, and Tigray Regions) and facilitate private sector equity deal closing and financing.
Based on investor-investee connections created during the conduct of the aforementioned forums, AGP-LMD has identified 10 promising leads (involving local businesses and international and local investors) to be converted into actual deals. The identities of these investees and investors will be shared in strict confidence with sub-contractor right after selection and during the contract negotiation stages. The consultant is expected to close not less than six of these leads by the end of the assignment period.
Deliverables In order to convert promising leads into actual investment deals, the following six set of activities along with their respective objectives and deliverables are proposed. The consultant will follow a process based approach in undertaking these activities with verifiable milestones to monitor progress at various stages.
Over a period of six months from the signing of the contract (details of due dates and deliverables in a separate SOW to be collected by applicants), the consultants are expected to;
1) Develop “as is” design of investees and investors 2) Preparing and facilitating signing of term sheets 3) Advise businesses on their investment strategy and revise/upgrade business plans 4) Conducting due-diligence 5) Facilitating deal closing meetings and negotiations 6) Deal closing
AGP-LMD intends to provide co-financing loan guarantees and/or grants to some or all of the equity ventures identified by the consultant, provided that they meet a specific set of criteria in terms of eligibility, competitiveness, and do indeed secure needed financing, at least partially through equity. Needs based technical assistance and training may be provided by AGP-LMD as stand-alone activities or in connection to an equity investment.
Job Requirement
Requirements for applying
Evidence that the company is legally registered and has paid government tax
Evidence that the consultant has done similar work in investment fund management, investment brokerage, investment negotiations, and deal closing
Evidence of successful investment deals closed previously, involving substantial sums
CVs of resource persons/consultants with relevant experience and background in the area of investment advisory and investment brokerage
Commitment letter to indicate the consultant can meet the deliverables within deadlines