Agricover Credit gets EUR 20 mln loans amid parent group’s IPO

Agricover Credit IFN, a significant player in the agribusiness financing sector in Romania, has secured two credit facilities from the European Fund for Southeast Europe (EFSE), amounting to EUR 10 million and RON 49.2 million, respectively.

The two loans are intended to finance micro, small, and medium-sized enterprises (MSMEs) and entrepreneurs and have been granted for seven years.

“We are pleased to have secured two new credit facilities from EFSE, further strengthening our strategic partnership with the fund. The capital will expand the financing capacity available to Romanian farmers, contributing to the development of performant agriculture,” said Serhan Hacisuleyman, CEO of Agricover Credit IFN.

“We recognize that investments in infrastructure, high-quality inputs, and modern technology are essential to achieve the full potential of the agriculture sector. Through our synergistic business model at Agricover Credit IFN, we understand the needs and challenges of farmers so that we can provide the necessary financing for the development of their business,” he added.

As of December 31, 2022, Agricover Credit IFN recorded a gross carrying value of loans and advancements to customers of approximately RON 2.84 billion, a 42% increase compared to the end of 2021.

Agricover Credit IFN is a subsidiary of Agricover Holding, a leader in the Romanian agribusiness market, which is currently halfway through its initial public offering (IPO) on the Bucharest Stock Exchange. Through this IPO, the group is looking to raise up to EUR 27.5 mln, the majority of which will go into Agricover Credit, according to the listing prospectus.

The group’s shareholders are also selling shares worth as much as EUR 56 mln in the IPO.

(Photo source: Facebook/Agricover Credit)