6th April 2020
Monrovia, Liberia: InfraCo Africa, part of the Private Infrastructure Development Group (PIDG), has signed a Shareholders’ Agreement with Global Logistics Services Inc (GLS Group), committing US$7.5million to the development of the Liberia Inland Storage Facility (LISF) project. InfraCo Africa will be the majority shareholder in the project. The project will develop Liberia’s first open-access commercial warehousing facility and operations.
The LISF project will be developed by InfraCo Africa, with CPCS Transcom Limited (CPCS) acting on their behalf, in partnership with the GLS Group, a leading integrated supply chain services company in the region. The project will be situated within the Monrovia Industrial Park, located 10 kilometres from the Freeport of Monrovia. The facility will provide businesses with approximately 4,600m³ of modern warehousing space. The LISF will incorporate state-of-the-art inventory management systems as well as time-efficient loading and offloading capacities.
InfraCo Africa secured grant funding from PIDG’s Technical Assistance (TA) to carry out a pre-feasibility study to assess the power needs of the facility. This study concluded that the LISF should operate using a solar hybrid energy system to maximise energy efficiency, providing a potentially replicable model for similar facilities in the region.
The LISF is expected to become operational in 2021.
“InfraCo Africa is excited to be partnering with the GLS Group on the Liberia Inland Storage Facility project, our first investment in Liberia. Providing well-managed, open-access storage for businesses engaging in trade via the Freeport of Monrovia will reduce losses for SMEs and other businesses due to spoilage and theft, stabilising prices and supporting Liberia’s wider economic growth.” Gilles Vaes, CEO, InfraCo Africa
GLS Group COO, Olabowale Gbadamosi said: “Storage is a key link in any supply chain and serves to improve trade facilitation, economic growth and overall capacity development. Driving supply chain optimisation through key assets and services integration which improves our total efficiency is central to our growth strategy, and we are happy to be working with InfraCo Africa and CPCS on its realisation. The partnership will evoke strong synergies, built toward aiding infrastructure and human capacity development in the region and across Africa.” He concluded, “The ongoing COVID-19 pandemic further strengthens the need for such a facility, and we are committed to delivering Liberia’s first open access commercial warehousing facility by Q1 2021”.
Notes for Editors:
- The Freeport of Monrovia is Liberia’s main international entry point and its capital city, where 90% of the country’s economic activity takes place.i
- Without appropriate storage infrastructure, costs increase due to high rates of spoilage, and delays can arise in delivering imports to Liberia’s consumers, whilst businesses struggle to export their products in a timely fashion.
- ‘Open-access storage’ is defined as storage which provides non-discriminatory service to all users in the market.
The Private Infrastructure Development Group (PIDG): The Private Infrastructure Development Group (PIDG) is an innovative infrastructure development and finance organisation which encourages and mobilises private investment in pioneering infrastructure in the frontier markets of sub-Saharan Africa and south and south-east Asia to promote economic development and combat poverty. PIDG delivers its ambition in line with its values of opportunity, accountability, safety, integrity and impact. Since 2002, PIDG has supported 183 infrastructure projects to financial close and provided 243 million people with access to new or improved infrastructure. PIDG is funded by six governments (the UK, the Netherlands, Switzerland, Australia, Sweden, Germany) and the IFC. To find out more visit: www.pidg.org
InfraCo Africa: InfraCo Africa is part of the Private Infrastructure Development Group (PIDG). InfraCo Africa seeks to alleviate poverty by mobilising private investment into high-quality infrastructure projects in sub-Saharan Africa’s poorest countries. It addresses the risks and costs of early-stage project development: funding teams of experienced developers and providing risk capital to those projects which need the financial commitment and leverage that InfraCo Africa can bring. InfraCo Africa is funded by the governments of the United Kingdom (through DFID), the Netherlands (through DGIS) and Switzerland (through SECO). To find out more visit: www.infracoafrica.com
Global Logistics Services Inc (GLS): GLS was borne out of the need to build an integrated logistics solution for organisations and projects operating in the region. The company’s strategy is focused on owning and operating key assets for supply chain optimisation in the markets it operates.
GLS Group is emerging as a leading logistics player across the West African region with services in global freight forwarding, trucking, storage and warehousing, shipping, and aviation services. We focus on improving operational capacity; investing in assets, systems, people, and standards, to ensure a high level of time and cost efficiency for clients’ supply chains. To find out more visit: https://glsbusiness.com/
CPCS Transcom Limited (CPCS): In November 2017 CPCS signed a Developer Services Agreement with InfraCo Africa, which mandated CPCS to source and develop early-stage project opportunities focusing on key infrastructure sectors within sub-Saharan Africa. CPCS is a global management consulting firm specializing in transportation, power and public-private partnership infrastructure projects. CPCS has a specific division, named the Infrastructure Development Unit, focused on servicing the development of key infrastructure projects across the continent of Africa. To find out more visit: www.cpcs.ca.
For further information please contact:
Alix Graham, Business Development Manager