Banco Latinoamericano de Comercio Exterior closed a $110 million, seven-year, syndicated loan for Favorita Fruit an Ecuadorian agribusiness conglomerate with diversified business activities including bananas, dairy, and fertilizers.
Bladex acted as sole lead arranger and bookrunner of the transaction and will be acting as the administrative and collateral agent.
The loan was launched in November and received strong support from several financial institutions based in Panama, Central America, and the Caribbean. Proceeds of the loan will be used to improve the company’s debt maturity profile and finance its ongoing expansion. The loan was 1.4 times oversubscribed, which allowed Favorita to upsize the facility amount to $110 million from its original target of $80 million.
This transaction marks the third syndicated facility arranged by Bladex for Favorita, following a $70 million senior term loan facility successfully closed in 2017, and a $102 million senior term loan facility closed in 2015.
“We are very pleased with the structuring and syndication of the third international loan facility for Favorita. It provides long term financing and strengthens our client’s banking relationships,” said Felipe Suarez, Bladex’s head of Loan Structuring and Distribution.
Panama-based Bladex, a multinational bank originally established by the central banks of Latin-American and Caribbean countries, began operations in 1979 to promote foreign trade and economic integration in the region.