APU Dairy Inclusive Value Chain Development Project

ADB is proposing a [5-7]-year loan of $20 million in MNT to APUD to partially finance the capacity expansion of its processing and packaging lines, establishment of raw milk collection centers and working capital needs. The project will increase APUD's production capacity from 45 million liters to 71 million liters per year and double the company's raw milk collection capacity. ADB will be partnering with EBRD to collectively provide $40 million debt financing for the project. In 2023, APU JSC, the parent company, injected MNT27 billion ($7.9 million) for expansion and APUD currently secured board approval to inject additional MNT25 billion or $7.1 million.