Pearl Dairy

completed

The proposed investment consists of an $8 million financing package to Pearl Dairy Farms Limited (“Pearl Dairy” or the “Company”), a Ugandan milk processor. The proposed financing package will be supported by the Private Sector Window of the Global Agriculture and Food Security Program (“GAFSP”). GAFSP funding plays a catalytic role to create opportunity to support innovative private sector investments and deliver a level of additionality and impact beyond what is possible through IFC’s regular operations.The financing package will support Pearl Dairy in establishing a greenfield powdered milk processing plant in the Mbarara District of Uganda with a handling capacity of 240,000 liters of milk per day. The project will source raw milk from smallholder farmers in the surrounding region and will support the development of milk collection centers to further strengthen the dairy value chain. The Project is in the final stages of construction phase and its commissioning is expected by the second half of 2013. The construction has been financed by sponsor equity, shareholder loans as well as bank loans from Stanbic Uganda.