EBRD to finance LDC regional expansion initiative
Global agricultural products company Louis Dreyfus (LDC) has received a $100m loan facility from the European Bank for Reconstruction and Development (EBRD), which will used towards its regional expansion.
The loan facility will fulfill working capital needs of LDC in eight countries, including, Bulgaria, Egypt, Turkey and Ukraine.
Established in 1851, LDC has been closely related to the agricultural industry with a diversified portfolio covering the entire value chain, from origination to distribution.
The company has been engaged in activities such as collecting, storing, processing, exporting and importing agricultural goods.
LDC CEO Gonzalo Ramirez Martiarena said: “Thanks to the EBRD’s sustained support over the past ten years, we continue to expand the geographical scope of our operations in line with our strategy and increase the efficiency and breadth of our supply chain, in order to meet the need for our products and services in this part of the world and provide even better service to our growing customer network.”
Since 2000, LDC and EBRD have been working together in Ukraine.
Optimising applicable synergies, the deal is now extended from Eastern Europe to Central Asia and North Africa.
EBRD First vice-president Phil Bennett said: “The EBRD is very pleased to deepen its cooperation with Louis Dreyfus Company, our longstanding strategic partner.”
An example of these synergies can be seen in Egypt, which is reported to be the largest wheat importer in the world.
The country is the main export destination for wheat from Ukraine, which is also the main supplier of corn imported by Egypt.
The export-import operation between these two countries is expected to strengthen global food security.
Image: EBRD to finance Louis Dreyfus regional expansion. Photo: courtesy of European Bank for Reconstruction and Development.