Credicorp bought MiBanco for $179m. According to the stated equity on the MixMarket, this would suggest they paid 1.25x the net equity of the bank, for a 61% stake. This is a low price compared to most microfinance transactions, but … Continue reading
Introduction It seemed appropriate to take a closer look at the bank in the centre of the emerging “incident” in Peru’s beloved microfinance sector. In a later post I may do a comparison of MiBanco to other banks in the … Continue reading
I have received a few questions on whether I am suggesting this is the beginning of an actual Peruvian microfinance meltdown, and should clarify my stance on this. Basically, I don’t know. The signals are inconclusive. But when we look … Continue reading
I have received endless calls, emails and messages about my recent post, almost unexpectedly, so I feel obliged to keep my loyal readers up to date on the unfolding problems in Peru. I have therefore diligently prepared three new posts … Continue reading
I was surprised more fuss wasn’t made of Fitch’s October 2013 downgrade of Grupo ACP – the main shareholder of Peru’s flagship microfinance institution (MFI): MiBanco. “The downgrade [] is driven by ACP’s losses (mainly due to foreign exchange volatility … Continue reading
