MANILA, Philippines - Electronic Network Cash Tellers Inc. (EnCash), a non-bank independent deployer of automated teller machines (ATM), has sold 40 percent of its equity to two Europe-based funds for $2.57 million.
Rural Impulse Fund II S.A., SICAV-SIF, a fund managed by Incofin Investment Management, and responsAbility Ventures I Services AG, a fund managed by responsAbility Social Investments AG, are considered as social funds that are looking to assist Philippine organizations in their initiatives to offer financial inclusion to the underprivileged segment of our society,” said Eric Severino, chief executive officer of EnCash.
He said the amount raised would be used to acquire more ATM units, facilitate their deployment, acquire more systems, and develop systems based on international standards.
EnCash plans to deploy at least 100 ATM units this year. It already deployed a total of 337 units, of which 260 units were through rural banks and 77 through cooperatives.
Incofin Investment Management private equity manager Sara Vermeir said that they believe EnCash improves access to financial services in the rural community by deploying ATMs in remote areas.
“EnCash is a young but very promising company. We will further support them along their growth path,” she added.
Incofin IM is a high-quality international fund manager specialized in double-bottom line investments pursuing both a financial and social return. Focusing on investments in the sector of microfinance in emerging countries, Incofin IM endeavors to contribute to financial inclusion, providing financial services to small entrepreneurs while emphasizing high social added value.
Rural Impulse Fund II, managed by Incofin, is a 120 million euros ($163 million) fund that was launched in 2010. The fund aims at contributing to the alleviation of poverty in rural areas by investing in MFIs that have a strong presence in these rural regions. Incofin IM has six funds under management totaling 300 million euros ($445 million) and has offices in Belgium, Colombia and India.
With assets under management (AUM) of $1 billion, responsAbility Social Investments AG is one of the world’s leading social investment companies. Its areas of focus include microfinance, SME financing, fair trade, and independent media. responsAbility’s investment solutions give people in developing and emerging economies access to markets, information, and other services crucial to their development.