olam food ingredients (“ofi”), a global leader in naturally good food & beverage ingredients, announced today that it has secured a multi-tranche sustainability-linked facility aggregating US$1,975 million (the “Facility”). ofi was created in early 2020 following the announcement of the reorganisation within Olam International Limited (now Olam Group Limited “Olam Group”) to unlock and maximize its long-term value.

Rishi Kalra, Executive Director and Group CFO of ofi said:

“At ofi, sustainability is at the heart our operations. This Facility is fully aligned with ofi’s growth strategy to deliver sustainable, natural, value-added food and beverage ingredients and solutions through a diverse channel mix, to customers across the globe.”

The Facility has Olam Holdings B.V. as a Borrower. The Facility is initially guaranteed by Olam Group which will transfer to ofi Group Limited post the planned IPO and demerger of ofi. Proceeds from the Facility will be applied towards refinancing of ofi’s existing loans and for general corporate purposes. The facility comprises a 2 and 3 year Revolving Credit Facility (“RCF”) and a 3-year term loan. The interest margin on the Facility is linked to the achievement of sustainability targets across Environmental, Social and Governance areas and could reduce if those targets are met.

A total of 19 banks from Australia, Canada, Europe, Japan, Middle East, Singapore and the United States participated in the Facility across 4 tiers:

Joint Sustainability Coordinators & Senior Mandated Lead Arrangers

1. Australia And New Zealand Banking Group Limited (“ANZ”)

2. Banco Bilbao Vizcaya Argentaria, S.A (“BBVA”)

3. DBS Bank Ltd.

4. Mizuho Bank, Ltd

5. Natixis

6. Banco Santander, S.A.

7. Sumitomo Mitsui Banking Corporation (“SMBC”)

Senior Mandated Lead Arrangers

1. Abu Dhabi Commercial Bank P.J.S.C. (“ADCB”) 

2. BNP Paribas 

3. The Hongkong And Shanghai Banking Corporation Limited (“HSBC”) 

4. MUFG Bank Ltd 

5. Standard Chartered Bank 

6. Unicredit Bank AG

Mandated Lead Arranger

1. BNS Asia Limited (“Scotiabank”)

Lead Arrangers

1. Barclays Bank PLC

2. Citigroup

3. Commonwealth Bank of Australia

4. Erste Group Bank AG

5. Westpac Banking Corporation

HSBC has been appointed as the Facility agent.