Project detail - VICENTIN S.A.I.C.

VICENTIN S.A.I.C.

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Who is our client

Vicentin SAIC (“Vicentin”, the “Company”), a family owned company, was founded in 1929 and has been active in the crushing business since 1979. It has now become the largest soybean crushing company of Argentina owning three crushing facilities, a port terminal and two biofuel plants. In addition, Vicentin owns subsidiary Renova, an FMO client, together with key partner and off taker Glencore Agri.

Funding objective

The proposed financing will be used to pre-finance exports to eligible buyers of oilseeds and their by-products processed by Vicentin’s or the Renova’s crushing plant. Argentina is one of the most efficient producers of grains and oilseeds, it is a key country because of its important contribution to global food security.

Why we fund this project

Vicentin is an important long-term relationship for FMO because of the good fit with the AFW strategy: The grains and oilseeds (G&O) sector is a focus sector of the Agribusiness Food & Water department and affordable soybean products link directly to SDG 2: zero hunger.

Environmental and social rationale

This is a category B+ financing since the E&S risks and impacts associated with the activities of the Company are limited, site-specific and addressable through generally accepted mitigation measures. The following performance standards are triggered: PS 1, Assessment and Management of Environmental and Social Risks and Impacts PS 2, Labor and Working Conditions PS 3, Resource Efficiency and Pollution Prevention PS 4, Community Health, Safety and Security PS 6, Biodiversity Conservation and Sustainable Management of Living Natural Resources. PS 5, Land Acquisition and Involuntary Resettlement is not triggered since this financing is not related to any physical expansion. PS 7, Indigenous People and PS 8, Cultural Heritage, are not triggered because there is no direct link between Vicentin and producer areas where indigenous people and cultural heritage are involved.

More investments

Date Total FMO financing
12/19/2017 USD 25.00 MLN
10/19/2015 USD 15.00 MLN
9/4/2013 USD 25.00 MLN
Website client
http://www.vicentin.com.ar/
Region
Latin America & The Caribbean
Country
Argentina
Sector
Agribusiness, Food & Water
Signing date
5/10/2019
Total FMO financing
USD 45.00 MLN
Fund
FMO
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk Environmental & Social Category
(A, B+, B or C)
B+