Smithfield Roman

completed

IFC is considering a $60 million corporate financing investment to Smithfield Romania (“SFR” or the “Company”) and its subsidiaries, Smithfield Ferme (“Ferme”) and Smithfield Prod (“Prod”). SFR, a wholly owned subsidiary of Smithfield Foods, is the largest hog producer and fresh pork processor in Romania, producing about 1 million pigs in 2013. SFR, which sells its fresh pork meat and semi processed pork meat under the Comtim brand, is fully integrated from hog production to meat processing, with assets encompassing the following: within Smithfield Prod, the processing plant (slaughterhouse) and an associated rendering plant and hereafter collectively referred to as the ‘plant’; within Smithfield Ferme, 2 feedmills; 1 boar stud; 5 sow farms; 4 nursery & finishing farms; 4 finishing farms; 31 wean-to-finish farms; 8 contract growers (2 finishers and 6 wean-to-finish) and hereafter collectively referred to as the ‘farm’. These assets are all concentrated in the western part of Romania (Timisoara). The SFR website is available in both Romanian and English language versions and includes information on company mission, products and certifications (downloadable copies).IFC’s use of proceeds will go specifically towards the restructuring of SFR’s loans to facilitate long-term financing, optimize its capital structure, and support SFR’s growth plans to expand its farms and processing facilities in Romania.SFR is wholly owned by Smithfield Foods, a global food company headquartered in Smithfield, Virginia, USA, with operations in 13 countries through wholly-owned subsidiaries and joint ventures. Smithfield Foods is the world’s largest hog producer and pork processor. In 2013, Smithfield Foods was bought by Shuanghui (now named WH Group), a Chinese meat processing company.In 2013, IFC invested in a Smithfield subsidiary in Mexico: Norson Holdings S. de R.L. de C.V. The ESRS for the investment can be accessed here. Norson is current on closing out the actions specified in its ESAP. For further details of the project structure, please refer to the Summary of Investment Information [link]