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Term Sheet Draft

Portfolio Launch Capital Investor

Parties

  • Company: RE+CIRCLE's South Portfolio ("SVP Cluster")
  • Investor: Launch Capital Investor ("Investor")

Investment Overview

  • Equity Offered: 20% post-money equity in South SVP Cluster
  • Total Capital Participation: Initial $6 million + $24 million (callable, as needed)
  • Structure: Strategic equity investment plus backstop participation for SPV launch capital
  • Evergreen: 60-70% of proceeds reinvested into next wave SVP clusters

Use of Proceeds

  • SPIN-to-Exit development and scale-up capital across RE+CIRCLE’s South initial SVP portfolio
  • Co-investment into SPVs as lead, anchor, or guarantor investor
  • Reserve capital for matched grants, institutional leverage, and milestone-based drawdowns

Funding Mechanism

Shareholding Structure (Post-Money, indicative)

Investment Exposure

  • Case (indicative): 20% local equity of the following SPVs:
  • RE+DUCE, RE+CYCLE, RE+CHARGE, RE+FUEL, RE+TYRE, RE+GRAPHIX, RE+PLASTIX, RE+SOURCE; then
  • Launch Capital Investor indirectly owns 16% of each SPV (20% x 80%)

Governance & Rights

  • Board seat and Investment Committee participation
  • Right of first refusal on all future equity rounds (Launch Capital or SPV Direct)
  • Visibility across pipeline, co-investment access, and exit strategy
  • Strategic influence on portfolio direction and African Operations growth
  • Evergreen reinvestment into next SVP clusters

Legal Terms

  • Instrument Type: Equity
  • Jurisdiction: TBD with cornerstone Portfolio Launch Capital Investor
  • Documentation: Shareholder agreement, governance charter, funding annex

Next Steps

  • Review and confirm participation tier and board representation
  • Complete legal documentation and side letter terms
  • Studio capital drawdown to proceed on milestone basis

This term sheet is indicative, non-binding, and subject to final agreement between the parties.