IFC, a member of the World Bank Group, Natixis, and Rabobank arranged a $295 million long-term pre-export financing package for agribusiness company Vicentin in Argentina to support its working capital needs for exports of oilseed, oil and sub products.
IFC, Natixis, and Rabobank have been strategic relationships of Vicentin for more than 20 years by providing financing, mobilizing resources and sharing global sector knowledge. Vicentin is a leading player in Argentina’s agribusiness sector and one of the country’s largest oilseed crushers. The company is also a significant employer in Argentina and an important contributor to rural economies through linkages with local farmers and intermediaries, who provide oilseeds to the company.
The financing package consists of $35 million for IFC’s own account and $260 million mobilized from commercial banks, financial institutions and funds. This includes $89 million of a previous facility, whose tenor was extended. IFC, Natixis and Rabobank acted as Joint Lead Arrangers and Joint Bookrunners. Participating institutions included: ING, Credit Agricole, ABN Amro, FMO, Banco Itaú BBA, Cordiant Allianz, Cordiant Fund IV, Federated Core Fund as well as Federated Tender Fund. The transaction consists of two tranches of up to 6 and 7 years, a relatively long loan maturity for such type of pre-export financing facility.
“The financing package structured by IFC, Natixis, and Rabobank will support expansion of production and exports, as well as strengthen our competitiveness,” said Vicentin Vice-President, Alberto Macua. “We are thrilled to partner once again with these key relationship banks,” he said.
“Vicentin is an essential player in the agribusiness and export sectors in Argentina. We are pleased to continue supporting the company’s growth and contribution to job creation and sustainable practices in Argentina,” said David Tinel, IFC Regional Manager for Argentina, Chile, Paraguay and Uruguay. “This new financing demonstrates IFC’s commitment to partner with key private sector players in Argentina and to strengthen the country’s insertion in global markets.”
IFC has been supporting the grains and oilseeds sector in Argentina through investments in infrastructure, processing and inputs distribution and financing working capital needs. IFC’s investments in the sector over the last three years, including mobilization, have totaled about $1 billion.
