TOI Commodities SA
Status: Approved investmentWhy disclosure?
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Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
Trans-Oil Group (TOG) is a leading vertically integrated agribusiness group located across Moldova, Ukraine, Romania, and Serbia, offering services such as grain handling, storage, trading, farming, and oilseed crushing. The company owns a unique distribution and export network in Moldova with extension to the Black Sea region and upstream to the Danube basin. More than 80% of the sales of the Company are exported via large international traders to the EU, the Middle East and North Africa (MENA) region, and Turkey.
What is our funding objective?
FMO arranged a USD 43 mln syndicated Pre-Crop Facility, this is a 1-year working capital facility to fund a marketing campaign for TOG in the 2024 marketing season. FMO’s participation is up to USD 25 mln with additionally up to USD 19 mln syndicated to commercial banks.
Why do we fund this investment?
In 2023, TOG provided jobs for 2748 people, mainly in rural areas. Furthermore, TOG is a major contributor to the strengthening of Moldova’s agriculture and sources its input locally. In line with their growing operations, it is expected that TOG will create more employment in the region.
What is the Environmental and Social categorization rationale?
TOG's E&S risk is categorized as B+ with the main risks related to the following IFC Performance Standards: PS 1 – Assessment and Management of Environmental and Social Risks and Impacts; PS 2 – Labour and working conditions; PS 3 – Resource Efficiency and Pollution Prevention; PS 4 – Community Health, Safety and Security. IFC Performance Standard 5 is not directly applicable as the project does not include land acquisition and resettlement. PS 6, 7, and 8 are not applicable because no biodiversity threats, indigenous people, or cultural sites have been identified in the area of influence of the project. PS 2 (Working Conditions) and 6 (Biodiversity) may indirectly be triggered through the client’s supply chain, for which the client has policies, practices and procedures in place.
More investments
- Website customer/investment
- https://transoilcorp.com/en/
- Region
- Europe & Central Asia
- Country
- Moldova, Republic of
- Sector
- Agribusiness, Food & Water
- Publication date
- 9/14/2023
- Effective date
- 12/14/2023
- Total FMO financing
- USD 25.00 MLN
- Funding
- FMO NV
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Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - B+