Equator Capital Partners, LLC (“Equator”) currently manages ShoreCap II Limited (“SC II”), formed for the purpose of investing capital in, and providing capacity-building services to, regulated financial institutions that serve small and micro entrepreneurial entities in developing and transitional economies. Because small firms create jobs and assets for their owners, and provide employment for local residents, there is a strong economic growth component to increasing access to finance for these clients. ShoreCap Funds have institutional investors including multilateral and bilateral Development Finance Institutions, private sector banks and Foundations.
Equator’s investment strategy also incorporates a strong element of capacity building support for investee companies, financed separately through a technical assistance facility arranged by CapitalPlus Exchange, a 501(c)(3) nonprofit entity. This technical assistance work focuses on aspects related to business planning, new product and market strategies, operational efficiencies, and corporate governance and risk management that have allowed Equator to substantially contribute to operational improvements and expansion for investee companies.
ShoreCap International, Ltd (“SCI”) was a $28 million Fund incorporated in the Cayman Islands. Between 2003 and 2008, on behalf of SCI, Equator invested equity and equity related securities in 15 small business banks and regulated microfinance institutions in Asia, Africa and Eastern Europe. Equator's investment strategy targeted institutions that demonstrated a commitment to expanding financial services to disadvantaged groups and low-income communities that were historically excluded from the formal banking system.
All investments were realized by the end of 2014, and the Fund was subsequently liquidated.
Following the success of ShoreCap International, Ltd., ShoreCap II Limited (“SC II”) was formed by Equator. SC II is an $80 million international Fund incorporated in Mauritius in 2009. Equator sought equity investment opportunities for SC II in the following types of Asian and African financial institutions:
In addition to providing the above institutions with equity capital, Equator also provides and manages needs assessments and capacity building services through its strategic service provider.
Equator Capital Partners is committed to the principles of sustainable development and its interdependent pillars of economic development, social development and environmental protection. To assess the social impact of its Funds’ investments, Equator utilizes key performance indicators of its portfolio companies. Equator has also been an active member of several social investor working group initiatives, and in collaboration with others has worked to develop, endorse, promote and implement recognized industry-wide standards and initiatives. Equator is an engaged member of trade organizations that promote research in the still-developing field of impact investing.