Olam Agri bags $2.7b bridge financing

It will fund Olam Group’s reorganisation plan.

Olam Agri, the food, feed and fibre operating unit of Olam Group has secured around $2.7b (US$2b) bridge financing facility that will be used for the Group’s reorganisation plan.

In a statement, Olam Agri said the 18-month bridge loan facility may also be used for general corporate purposes.

The senior mandated lead arrangers for the facility were DBS Bank, Citibank, MUFG Bank, and The Hongkong and Shanghai Banking Corporation Limited, whilst HSBC served as the facility agent.

READ MORE: Olam unit receives US$1.98b sustainability-linked loan

“This transaction gives Olam Agri significant financial flexibility while Olam Group continues on its Reorganisation pathway. We thank our banking partners for their strong commitment and support,” said N Muthukumar, Olam Group CFO and Olam Agri CEO of Operations.

Olam Global Agri is the borrower for the facility, which is guaranteed by the Olam Group. The terms of the facility include provisions on the ongoing re-organisation plan.

$1 = US$0.74