Rhino capital markets in everything?

 [[{“value”:”In 2022 the World Bank priced the world’s first wildlife bond, raising $150 million that will be partially used for the conservation of black rhinos at two reserves in South Africa. Returns on those five-year bonds will be determined by the rate of population growth. It said at the time that it hoped that the
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In 2022 the World Bank priced the world’s first wildlife bond, raising $150 million that will be partially used for the conservation of black rhinos at two reserves in South Africa. Returns on those five-year bonds will be determined by the rate of population growth. It said at the time that it hoped that the structure would be emulated…

Under the rhino bond’s structure the issuer makes contributions toward conserving the animals instead of paying coupons and the buyers of the bond receive a payment based on preset targets for population growth. Black rhino numbers have dropped to about 2,600 from 65,000 in 1970, and may once have been as high as 850,000, according to documentation from the World Bank. They are smaller than the more common white rhino.

Here is more from Antony Sguazzin at Bloomberg.  As the article notes, Rand Merchant Bank is considering issuing wild dog and lion bonds as well, with the exact structure still being discussed.

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