Nile Sugar

pending

The IFC investment is a USD 40mn senior loan, of which USD 20mn OA and USD 20mn mobilized, with a 7-year tenor, including a 3-year grace period to Nile Sugar Company (S.A.E) (the "Company" or “NS”). Founded by the Sawiris family (the “Sponsors”) in 2006, the company is an Egyptian beet sugar producer with refinery operations producing white sugar and its by-products, including molasses and beet pulp commencing in 2009. IFC’s loan will finance (i) the development of 13,711 feddans (5,760 hectares) of agricultural land in Menya, Egypt for sugar beet cultivation, including related infrastructure, machinery, equipment, operating expenses. These plots are located within a larger reclamation project of 4 million feddans (1.68 million hectares) managed by Egyptian Countryside Development Company, a collaboration between the ministry of finance, agriculture and land reclamation and the ministry of housing development. The reclamation project aims to meet Egypt’s national 2030 target to develop sustainable, agriculture based communities on reclaimed land through integrated planning aligned with international best practices. Both land plots in Menya are currently under reclamation to cultivate sugar beet and improve its supply chain sustainability, together with related infrastructure, machinery and equipment, and working capital, to purchase sugar beets from smallholder farmers, including advances and input financing (the “Project”). The sugar refinery is considered an associated facility for the supplier farms from which it almost exclusively sources sugar beet.The sugar refinery is in a semi-industrial area allocated for its nature of business and separated from nearby residential communities. It is located 350km from the land plots in Menya. The Project will directly and indirectly help address increased sugar consumption in Egypt through local production vs. imports.