BONTRUP AGRICULTURE B.V.
Status: Completed investmentWhy disclosure?
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In case of questions, please contact us at disclosure@fmo.nl
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
The Dutch company Bontrup has successfully been doing business in the Ukraine sine 2007, and recently decided to further invest in the country and enhance its position. Located in the northeast of Ukraine, Bontrup Ukraine is a farm encompassing some 20,000 hectares (approximately the size of the city of Rotterdam). Bontrup farms on rain-fed land and mainly produces corn, rapeseed, sunflower, sugar beet, wheat and milk. When it was founded the company's objective was to carry out large-scale agricultural operations with a long-term vision, in which it is crucial to do this with respect and in cooperation with the local population and authorities.
What is our funding objective?
With the support of a EUR7.5 million senior credit facility from the FOM fund, Bontrup will further expand its business in the Ukraine. FOM has invested in Bontrup Ukraine through its holding company Elzasel B.V. The expansion plan consists of investments in farmland, machinery (e.g. tractors) and an expansion of the current warehousing.
Why do we fund this investment?
Bontrup is an established and successful company in Ukraine and the investments at hand are in line with the corporate strategy. The company is also committed to environmental and social issues. We deem the impact development high as Bontrup will produce food related products (high quality milk and grains and oilseeds) for both local and international markets. Furthermore, the introduction of technology (high standard dairy farm practices and agricultural farming) has been and will be further introduced in the Ghlukov region of the Ukraine. This is a remote region close to the border of Russia where high standard technology is not widely available.
- Website customer/investment
- http://www.bontrup.com
- Region
- Europe & Central Asia
- Country
- Ukraine
- Sector
- Agribusiness, Food & Water
- Effective date
- 1/30/2014
- End date
- 9/23/2021
- Total FMO financing
- EUR 7.50 MLN
- Funding
- Fund Emerging Markets
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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+