Bell & Evans, a vertically integrated poultry processor, and Rabobank closed a $300 million senior secured credit facility, which is the first green loan in the U.S. poultry sector.
The credit facility includes a five-year $50 million revolver, a five-year $65 million term loan and a seven-year $185 million delayed draw term loan that is provided by a syndicate of 15 banks led by Rabobank. The facility is defined as a green loan, as it contributes to the achievement of global environmental objectives, adheres to no-harm principles and is structured in accordance with green loan principles.
Bell & Evans will use proceeds from the credit facility to finance operations and the construction of a new 411,500 square foot chicken harvesting facility located in Fredericksburg, PA. The facility is being designed to focus on animal welfare and environmental sustainability. This new facility will begin operations in late 2021.
“We are excited to be moving forward on this project with a financial partner that recognizes and shares our commitments to sustainability and excellence,” Scott Sechler, president and owner of Bell & Evans, said. “Entering into this green loan clearly demonstrates that sustainability is an integral part of both our strategy and finances.”
“We are excited to partner with Bell & Evans, which provides premium, sustainably-raised poultry products, to support its efforts to advance sustainability practices throughout the value chain,” Nader Pasdar, head of markets North America for Rabobank, said. “This green financing demonstrates Rabobank’s commitment to sustainability and our mission of growing a better world together.”
