SVA successfully raises $9m for South Australian Social Impact Bond in under a month

Social Ventures Australia (SVA) is pleased to announce that it has successfully closed the Aspire Social Impact Bond (Aspire SIB) fundraising, a month ahead of the scheduled 31 March issue date. The pioneering transaction, completed in partnership with the SA Government, brings together not-for-profit expertise and private sector capital, and has seen exceptionally strong demand from investors seeking both social and financial returns.

Investors in the SIB include Coopers Brewery Foundation, HESTA and Future Super. The SIB drew considerable interest from investors across the country, particularly from Trusts, Foundations and institutional investors in South Australia.

The $9 million raised will fund the Aspire Program, which aims to build the independence and resilience of people experiencing homelessness in Adelaide. Up to 600 individuals will each be supported for three years with accommodation, case management, pathways to employment and life skills development.

SVA Executive Director Impact Investing, Ian Learmonth commented: 

We are delighted to be closing this SIB after only a few weeks, demonstrating the strong investor demand for pioneering programs of this type. This investment will make a real and sustainable difference to the lives of 600 individuals in South Australia.

‘We see demand growing from investors across all states, and with SVA working to develop a number of other SIBs in Queensland and New South Wales, there is a growing pipeline of these innovative impact investment vehicles. The opportunity to deliver both positive social outcomes to disadvantaged communities and returns to investors, makes Social Impact Bonds particularly compelling for governments, investors and the community.’

Melanie Cooper, Chair of the Coopers Brewery Foundation, commented:Coopers is very pleased to be a part of South Australia’s first Social Impact Bond. We have always been committed to supporting the communities in which we operate, and this is an exciting and innovative program that will make a real difference to the lives of many disadvantaged people in Adelaide.’

The Aspire program, delivered by Hutt St Centre and Common Ground Adelaide, will commence in July 2017 and seeks to generate a financial return for investors while making a lasting difference to the lives of people experiencing homelessness in Adelaide. The program offers the additional benefit of savings to the South Australian Government in health services, interactions with the justice system and the provision of homelessness services.