(Ecofin Agency) - After leading a $100 million fundraising in early April for British payment infrastructure company TerraPay, IFC plans to provide a loan to the company's Mauritian subsidiary to support its business.

The International Finance Corporation (IFC) plans to provide a $30 million loan to the Mauritian subsidiary of payments company TerraPay. The financing project was announced on Monday, April 17. 

The $30 million credit line will mature in four years, with a 2-year grace period. It will be complemented by a $60 million syndicated loan from IFC and its partners.

The financial resources will strengthen the working capital of TerraPay Mauritius, a local subsidiary of British payment infrastructure company TerraPay Holdings Limited.

According to the IFC investment disclosure notice, the facility will help TerraPay Mauritius raise the working capital it needs and “create a template for its future fundraising efforts," IFC explains in its investment disclosure note. 

The financing initiative, which is pending IFC board approval, comes nearly two weeks after TerraPay Mauritius' parent company raised $100 million in equity and debt. The transaction, announced on April 4, was led by the IFC.

The World Bank Group member institution expects that the financing will improve access to international remittances and cross-border payments, and support the growth of TerraPay Mauritius.

Chamberline Moko