Business
International Finance Corporation Funding
International Finance Corporation Funding.
About this update from Zambeef Products Plc
[{"type":"text","content":"\n \n \n \n \n \n \n Zambeef Products plc\n \n \n (\"Zambeef\", the \"Company\" or the \"Group\")\n \n \n \n INTERNATIONAL FINANCE CORPORATION FUNDING\n \n \n \n \n \n \n \n \n Zambeef (AIM: ZAM), the fully integrated cold chain foods and retail business with operations in Zambia, Nigeria and Ghana, is pleased to announce that is has entered into a c. ZMW 570 million (US$35 million) debt facility with the International Finance Corporation (\"IFC\") to partially finance its USD100 investment strategy as announced on 16 June 2022.\n \n \n \n \n \n IFC, a member of the World Bank Group, is the largest global development institution focused on advancing economic development through supporting the private sector in developing countries.\n \n \n \n \n \n Zambeef expects, subject to additional funding to allow full implementation of the investment strategy, to double its Mpongwe Farm row cropping capacity, and also to deliver significantly improved production efficiency and capacity through the downstream food value chains.\n \n \n \n \n \n Summary details of the new facility are as follows:\n \n \n \n \n \n ·\n New c. ZMW 570 million (\n US$35 million\n ) secured term loan\n \n \n ·\n Zambian Kwacha (ZMW) equivalent of US$35 million at the spot rate at the date of drawdown\n \n \n ·\n First ZMW drawdown expected from 1 August 2022, and available to drawdown until 31 December 2023\n \n \n ·\n Eight-year term, ending 15 June 2030\n \n \n ·\n Quarterly interest payments commencing on 15 September 2022, with a fixed interest rate being currently within the range of those other ZMW denominated facilities held by the Company\n \n \n ·\n Principal will start amortizing two years from drawdown\n \n \n \n \n \n Agriculture and agribusiness play an important role in Zambia's economy, contributing around 20 percent of gross domestic product (GDP) and about 12 percent of national export earnings.\n \n \n \n \n \n This investment will contribute to climate change mitigation by supporting efforts to improve Zambeef's energy and fuel efficiency and reduce more than 14,000 metric tons* of greenhouse gas emissions every year. IFC will also provide advisory services to help Zambeef set up a comprehensive carbon assessment planning system, which will accelerate longer-term climate-smart initiativ...