VICENTIN S.A.I.C.
Status: Completed 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
Vicentin is a 100% family owned company whose main business activity is oilseed crushing, which generates 80% of total revenues. With the recent addition of the new state-of-the-art Timbues crushing facility, Vicentin increased its crushing capacity from 20,500 to 26,500 tons per day, making it the third largest soybean and sunflower seed crusher in Argentina. Besides oilseed crushing Vicentin is also active in lecityn, biodiesel, gliceryn and bioethanol production. Exports comprise 83% of total sales of Vicentin, projected to increase to up to 89% next year.
What is our funding objective?
Through this transaction Vicentin will be able to procure soybeans for the new crushing facility in Timbues, Argentina. This facility belongs to Renova, which is a joint venture between Vicentin, Molinos Rio de la Plata and Glencore. The transaction is structured as a medium term pre-export finance facility, which allows Vicentin to use the proceeds to procure inputs for processing of exportable commodities (soy oil and soy meal).
Why do we fund this investment?
Through this facility FMO continues and further deepens its long-standing relationship with this successful family-owned agribusiness company in Argentina. Being one of the lowest-cost producers of soy in the world, Argentina plays an important role in serving the increasing global demand for protein and soy meal animal feed. Agricultural exports are thus an important source of tax and foreign currency income for Argentina. In spite of the current challenging economic environment in Argentina, FMO and Credit Agricole CIB were able to arrange a significant amount of funding from commercial banks for this facility. As part of the overall transaction, FMO and Vicentin have agreed on an action plan which will support Vicentin in the further improvement of their environmental and social management systems and performance, as well as their corporate governance.
More investments
| Date | Total FMO financing |
|---|---|
| 5/10/2019 | USD 45.00 MLN |
| 5/17/2018 | USD 25.00 MLN |
| 10/19/2015 | USD 15.00 MLN |
- Website customer/investment
- http://www.vicentin.com.ar/
- Region
- Latin America & The Caribbean
- Country
- Argentina
- Sector
- Agribusiness, Food & Water
- Effective date
- 9/4/2013
- End date
- 5/9/2019
- 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+