Agrowill Group, one of the largest agricultural investment companies, has reached a strategic agreement with DNB and Swedbank on the refinancing of the company‘s long-term debt portfolio. A syndicated loan of EUR 39 million is going to be granted by both banks in equal parts. It will be used to finance company‘s operations as well as its development projects.
Banks have agreed to not only refinance the whole debt portfolio of EUR 33 million, but also additionally lend us EUR 6 million. The additional long-term loan as well as more favourable debt repayment schedules will enable to devote up to EUR 16 million for the Agrowill’s strategic goal – the deployment of the organic farming model.
It is estimated that more favourable debt repayment schedules and reduced annual interest rate margins will allow to repay up to EUR 10 million (34%) less for the loan in the next 4 years than it would be if the new agreement was not reached.
The agreement with the banks does not change the plans of the additional share issue of Agrowill Group in 2016.
The company previously announced that the additional funds raised would be used for the implementation and development of organic farming technologies as well as establishing manufacturing processes of organic agricultural products for end-users.
Vladas Bagavičius
Member of the Board;
+370 5 233 53 40