This is not the first collaboration between the groups. According to the IFC, the three have partnered with Vicentin for more than 20 years, providing financing, mobilizing resources and sharing global sector knowledge.
Founded in 1929 and based in Avellaneda, Argentina, Vicentin is a key 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.
As part of the $295 million financing package, IFC said it will contribute $35 million from its own account, while $260 million will be mobilized from commercial banks, financial institutions and funds. This includes $89 million of a previous facility, whose tenor was extended.
The transaction consists of two tranches of up to six and seven years, a relatively long loan maturity for such type of pre-export financing facility.
David Tinel, IFC’s regional manager for Argentina, Chile, Paraguay and Uruguay, added, “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. 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 said its investments in the sector over the last three years, including mobilization, have totaled about $1 billion.