Olam Group’s VC2 Olam Agri has secured a US$615 million ($828.9 million) financing facility on March 14.
The facility is initially guaranteed by Olam Group. This will transfer to Olam Agri after its planned initial public offering (IPO) and demerger
Olam Agri’s subsidiaries, Olam Global Agri Pte. Ltd. and Olam Global Agri Treasury Pte. Ltd, are the co-borrowers. The facility has a tenor of three years.
Proceeds from the facility will be applied towards the refinancing of Olam Agri’s existing loans and general corporate purposes.
Mizuho Bank, Ltd is the senior mandated lead arranger for the Facility. Australia and New Zealand Banking Group Limited, DBS Bank Ltd and MUFG Bank Ltd are mandated lead arrangers while BNP Paribas, Scotiabank (BNS Asia Ltd.), ING Bank, Emirates NBD Bank (P.J.S.C.) and National Australia Bank Limited are lead arrangers. The Hongkong and Shanghai Banking Corporation Limited is the facility agent.
Shares in Olam Group closed at $1.56 on March 13.
