Scaling up Finance for Essential Household Products
- BIX (Base of the Pyramid Impact eXchange) Capital provides medium-term working capital debt to companies in the value chain to provide households in developing countries with essential products (such as improved cookstoves)
- It was established in 2013. BIX is managed by a dedicated team of 4 professionals in Amsterdam, in partnership with Goodwell
- As at 1 January 2018, BIX Capital is working towards a final close of USD 15 million in risk capital and has an active invested portfolio of USD 3.5 million with 4 partners
- BIX Capital’s funding partners include Calvert Impact Capital, FMO, IFC, Shell Foundation and a European family office
BIX Capital is an initiative of Shell Foundation, Goodwell and Cardano Development. It provides flexible working capital debt financing to companies in the value chain for the design, production and marketing of essential Household products in base-of-pyramid markets in developing countries. Its financing uniquely uses future income of carbon credits and other forms of pre-committed impact-based cashflows as security.
BIX Capital’s loans are designed to catalyze the wider dissemination of essential Household appliances, such as improved cooking and clean water solutions, which combine a crucial utility to the user with a public good that is monetized through the impact certification process. It has the ambition to finance the distribution of such appliances to 2 million households.