We advised on Molinos Agro’s US$250,000,000 pre-export financing from IDB Invest

New Deal - June 6, 2023

Molinos Agro S.A., together with Molinos Overseas Commodities S.A., secured financing for up to US$250,000,000 from IDB Invest. The uncommitted financing consists of a direct loan of up to US$50 million, and up to US$200 million of mobilized funds, with Santander and Rabobank as lead arrangers. This funding aims to ensure short and medium-term liquidity for pre-financing the company’s exports of products and commodities.

Molinos Agro, a company publicly listed on the Buenos Aires Stock Exchange since 2017, emerged in July 2016 from the corporate reorganization of Molinos Río de la Plata S.A., a company established in 1902. Prior to this reorganization, Molinos Agro functioned as the Bulk Division within the broader framework of Molinos Río de la Plata S.A. The core operations of Molinos Agro encompass two principal areas: (i) the processing and commercialization of grains and their derived by-products from soybeans, and (ii) the trading of cereals.

On the other hand, IDB Invest, as a member of the Inter-American Development Bank Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest provides financing to sustainable businesses and projects with the aim of achieving financial results while maximizing economic, social, and environmental development in the region.

In this particular transaction, IDB Invest development objectives include: (i) boosting value-added production in the agricultural sector, and (ii) promoting exports and purchases from the local supply chain.

Counsels to Molinos Agro

Tavarone, Rovelli, Salim & Miani advised Molinos Agro S.A. and Molinos Overseas Commodities S.A. under Argentine law, through its team led by partners Marcelo R. Tavarone and Francisco Molina Portela, and associate Eduardo N. Cano.

Counsels to IDB Invest

Bruchou & Funes de Rioja advised IDB Invest under Argentine law, through its team led by partner Analía Battaglia, and associates Leandro Belusci, Josefina Mortola Saiach and Teo Panich. Also, through tax partner Pablo Muir and tax associate Atenas Caramuto.

IDB Invest was also advised by Julieta Moreno, lead counsel of the legal team of such multilateral entity.

Holland & Knight LLP advised IDB Invest under New York law, through its team led by partner Norberto Quintana, and associates Pedro de Elizalde and Francisco Bianchetti, and international law clerk Agustina Pérez.

Ferrere advised IDB Invest under Uruguayan law, through its team led by partner Diego Rodríguez, and associates Cecilia Trujillo and Federico Lemos.