Investment Advisor to Etablish a Special Purpose Vehicle for Financing Tractors
Company Overview:
Palladium is a global leader in the design, development and delivery of Positive Impact – the intentional creation of enduring social and economic value. We work with foundations, investors, governments, corporations, communities and civil society to formulate strategies and implement solutions that generate lasting social, environmental and financial benefits.
For the past 50 years, we have been making Positive Impact possible. With a team of more than 2,500 employees operating in 90 plus countries and a global network of more than 35,000 technical experts, Palladium has improved – and is committed to continuing to improve – economies, societies and most importantly, people’s lives.
Palladium is a child-safe organisation, and screens applicants for suitability to work with children. We also provide equal employment to all participants and employees without regard to race, color, religion, gender, age, disability, sexual orientation, veteran or marital status.
Project Overview and Role:
USAID/Feed-the-Future, Kenya Investment Mechanism (KIM)
KIM is a five-year USAID funded project that will unlock $400 million of investments to key agricultural value chains, namely horticulture, dairy, and livestock and to the energy sector. KIM will address constraints on the supply-side and demand-side of investment transactions and boost the enabling environment (policy and regulations) to promote the flow of capital for business expansion. Through the mobilization of capital and building partnerships between stakeholders in the financial ecosystem, KIM supports USAID’s overall goal of fostering broad-based, sustainable, and inclusive economic growth for Kenya.
KIM provides smart incentives to both business advisory service providers and Financial Institutions. These incentives create a sustainable ecosystem for businesses to access finance and investments needed to expand and grow. Business transactions are further supported by a diverse range of sustainable partnerships–with and among strategic businesses, institutions, government counterparts (county and national) and other development partners. These partnerships will lead to scaling and replicating creative approaches to unlock finance and investments, reduce risks of extending credit to the agriculture and energy sectors, and offer testing of innovative business models that can be scaled.
About Hello Tractor:
Hello Tractor (HT) connects tractor owners to smallholder farmers through an Internet-of- Things (IoT) digital solution by supporting improved management of tractor businesses, ensuring tractor owner success, while connecting farmers to affordable, mechanized services. Hello Tractor’s solution begins with a low-cost hardware monitoring device that can be installed on any tractor, connecting it to the Hello Tractor cloud for remote data tracking and analytics. By expanding tractors’ serviceable geography, Hello Tractor enables owners to grow their business, providing employment opportunities for service providers and rural booking agents. By creating equitable access to tractor services, Hello Tractor enables smallholder farmers to earn more and grow more, improving livelihoods and food security for their families and communities. HT began operations in Nigeria in 2014 and currently operates in 13 countries across Africa and Asia, with an aggressive target to drastically scale over the next 3 years.
Primary Duties and Responsibilities:
Hello Tractor seeks the services of a consultant in order to finalize the structure of the PAYG tractor financing product, enabling the purchase of up to twenty-five (25) tractors in Kenya. This work will include:
1. Finalizing the model structure
2. Obtaining buy-in and explicit agreement from necessary third parties and key stakeholders
3. Closing and executing the deal
4. Providing adequate handover and training for customers and operational team
Scope of Work, Deliverables & Timing:
This work is anticipated to start from May 1st and end October 30th. The consultant will devote as much time as necessary during this timeframe to complete the deliverables as described below. The consultant will devote an adequate amount of time to ensure that the deliverables are completed to Hello Tractor’s satisfaction and acceptance criteria. The table below describes the deliverables, timing and compensation schedule.
| Deliverable | Description |
| PAYG Model | Finalization of PAYG model structure and parameters. The consultant will revise existing concept note and finalize concept based on feasibility assessment and analysis of the market. |
| Term Sheet / Offer Memorandum | Completion of necessary deal documentation outlining the key terms of a deal between varying parties and Hello Tractor. Documentation and tracking of demand for tractor services and tractor ownership. Finalization of due diligence required to bring legal agreements to closure. |
Acceptance Criteria:
Deliverables will be subject to review, revision and final approval by Hello Tractor. Hello Tractor’s acceptance of each deliverable shall be based upon the deliverable’s substantial conformance to the acceptance criteria set forth in the table below. Unless otherwise mutually agreed in writing, upon completion of a deliverable by the Consultant, Hello Tractor will have one (1) week to provide acceptance of the deliverable in the form of a payment, following submission of an appropriate invoice by the Consultant.
| Deliverable | Description |
| PAYG Model | Agreed upon model describing the parameters of the tractor financing instrument. |
| Term Sheet / Offer Memorandum Closed Deal | Evidence of explicit deal terms and due diligence completion. Final agreements in place. |
Proposal submission
Interested individuals must submit a brief expression of interest highlighting their experience and qualifications to undertake the assignment. The EOI must include a detailed CV and a quotation of the applicable fees (tax inclusive).
KIM is obliged by the Kenyan tax authorities to withhold taxes on service fees as well as any applicable VAT. Tenderers are advised to ensure that they have a clear understanding of their tax position with regard to the provisions of Kenyan tax legislation when formulating their financial proposals.
Required Qualifications:
Minimum 5 years investment advisory experience;
Knowledge of agribusiness and asset finance;
Strong financial modeling and presentation skills to investors;
Track record of closing deals preferred;
Experience in financial management on a global or regional basis preferred
Education
• Bachelor’s degree required, Masters preferred
Selection Criteria
The successful tenderer will be selected through an evaluation of the technical proposal in line with the Technical Evaluation Grid Form below. The financial offers of those tenderers reaching a minimum score of 45 will be evaluated to generate an overall assessment for review and selection by the procurement committee of KIM. Inquires may be submitted to: [email protected] be considered, your proposal reference “Hello Tractor Advisor County Investment Review” must be addressed to: [email protected] and received by Wednesday June 3rd 2020 at 23:59 hours, EAT (UTC +3).
NOTE: Palladium reserves the right to award one or more of the county reviews, or none, at its sole discretion.
TECHNICAL EVALUATION CRITERIA FORM
RFP: County Investment Review
Name of Tenderer:
| No. | Criteria for Assessment | Marks | Score |
| 1 | Experience | 25 | |
| Examples of similar work undertaken – involving or preparing investment models and deal documentation | 20 | ||
| Understanding of what KIM is expecting from the work | 5 | ||
| 2 | Methodology and Work Plan | 20 | |
| Relevance of the methodology proposed to successfully complete this assignment | 5 | ||
| Local presence or track record working with officials’ assignments in target countries | 10 | ||
| Adequacy of the workplan, including key deliverables and timing | 5 | ||
| 3 | Technial Experience of Staff Offered | 15 | |
| Years and relevance of professional experience | 5 | ||
| Evidence of similar experience identifying and closing viable investment opportunities | 10 | ||
| Total Score | 60 | ||
| Any other Comments: Minimum score required 45
|