June 9, 2015
New Hope to sign a RMB372 million loan agreement with IFC
China's largest animal feed producer New Hope Liuhe will be signing a loan agreement with IFC, a member of the World Bank Group, on 9th June that involves a sum of US$60 million (RMB372 million).
Under the agreement, IFC will be providing low-interest concessional loan to all wholly-owned subsidiaries of New Hope Liuhe for a period of seven years. It is understood that as part of its strategy to expand and grow the business, the sum will be used to fund the enterprise's investments and operations in Asia's agricultural and food industries, especially Southeast Asia.
With the loan, New Hope will have a particular focus on expanding its feed mill and poultry business in ten Asian markets - India, Laos, Myanmar, Nepal, Bangladesh, Cambodia, Indonesia, the Philippines, Sri Lanka and Vietnam.
The company is focusing on international expansion as growth in feed demand slows at home, hurt by weaker economic growth and cuts in official spending.