Note to IFU project portfolio – definitions

The project list comprises all projects with direct or indirect IFU, AIF, KIF and IIP financing from the establishment of IFU until the report day - active projects as well as exited projects. When used in this note, the term IFU covers all funds.

A project is considered to be exited when one of the following two conditions has been met: 1. All loans have been fully repaid incl. interest, and IFU’s shares have been sold according to a legally binding agreement without any conditions precedent, or 2. A bankruptcy/liquidation procedure has formally been initiated by appointment of a liquidator/receiver. Until one of these criteria has been met, projects will appear in the list of active projects, even if the operation is discontinued.

A number of projects are shown in italic without financing. These have received indirect financing from IFU and are as such classified as indirect projects. Indirect projects are either majority-owned subsidiaries of projects having received direct IFU financing, projects financed through a holding company where more than one project is financed through the same holding company, or projects being financed through a dedicated loan facility. If a project is the sole project being financed through a holding company, the project is shown as receiving the financing directly, but it is indicated by a hashtag (#) that the financing is made through a holding company. All financial data related to indirect projects are included in the data shown for the parent company. Indirect projects are not included in the overall count of IFU projects.

Historical figures and information in the portfolio list are adjusted if deviations to the underlying documentation are found.

IFU’s contracted participation is the accumulated sum in DKK of IFU’s contracted investments in the project companies since project start. Investments denominated in foreign currency are stated in the DKK equivalent at the exchange rate prevailing at the time of signing of the investment agreement. Share capital participation includes overrun commitments and amounts converted from loans. Loan participation includes guarantees and interest converted to principal.

Total disbursements are the total sum in DKK of share capital and loans disbursed to projects as at the report date. Disbursements in foreign currencies are stated in the DKK equivalent at the exchange rate prevailing at the time of disbursement. Disbursed amounts are on an aggregated level normally smaller than the amount for contracted investments due primarily to the following factors:
•  A number of projects are not implemented.
• Contracted investments in share capital normally include a commitment of 25 per cent overrun. Most often this commitment is not disbursed.
• Part of the contracted investments is in the form of guarantees, which are normally not disbursed.
In addition, disbursement figures can be different from the figures for IFU’s contracted participation due to changes in the exchange rate for the currency in question, or if the stated participation includes amounts originating from conversions.

Total outstanding is the outstanding amount of share capital and loans stated in DKK at cost. Total outstanding may include outstanding amounts originating from conversions, and the total may therefore be larger than the disbursed amount.

Expected total investment is the expected total investment in the project company in DKK as foreseen at the most recent appraisal stage (the original appraisal stage or a later appraisal stage, if additional financing has been provided by IFU, and the figure for the expected total investment has risen). The figure for expected total investment is not directly comparable to the figures for IFU’s contracted participation. This is primarily because IFU’s contracted participation may include amounts originating from conversions, overrun commitments on share capital, and/or contracted participations that are guaranteed by IFU’s partners, which are typically not included in the figure for expected total investment.

Expected direct employment is the number of persons expected to be employed directly in the project company once full capacity utilisation is achieved, as foreseen at the appraisal stage (either at the original appraisal stage, or at a later appraisal stage, if additional financing has been provided, and the figure for expected employment has risen). For greenfield projects the figures indicate the number of jobs expected to be created when reaching full capacity, while for brownfield projects the figures indicate the number of jobs to be created and/or preserved.

Actual direct employment shown for the active projects is the actual total number of persons employed directly in the project companies, including subsidiaries, as reported to IFU by the project company. Figures are collected once a year and are typically from the year corresponding to the project portfolio. In case some of the company’s activities are run by an external contractor, the persons employed by the external contractor are included. There may be figures for actual employment, even if IFU has not made any disbursements to the project. This will typically be the case when IFU’s participation takes place in the form of a guarantee, or in cases where the project company has not yet requested disbursement or IFU’s participation is cancelled before any disbursement has been made. Even if no disbursements are made, IFU will have contributed with advisory and financial services. No adjustments have been made for seasonal variation in the number of employees or for part-time employees. No figures for actual employment are shown for projects established in the most recent calendar year. The aggregated figures for actual employment for active projects are typically lower than the figures for expected (full capacity) employment, because a number of the projects are under implementation. From 2005 and onwards, actual direct employment shown for exited projects is the last recorded figure before IFU exited the project company, thus showing the employment level reached during IFU’s engagement.

In projects where no Danish partner is registered/named, IFU’s engagement is based on a Danish interest. A Danish interest could be in the form of a Danish company supplying gods, know how, technology, management or services to the project, having an operating and maintenance agreement with or offtaking products from the project, a project using state of the art Danish technology as well as a project that generates direct or indirect jobs in Denmark. Finally, a project with no Danish partner can be based on a co-investment with other Development Finance Institutions (DFI).

Double counting of figures may occur if portfolio reports are run across funds.

*  Operation discontinued
#  Investment through a holding company
¤  The Fund’s participation cancelled or terminated