Romanian agri-business group Rodbun gets EUR 101.5 mln credit facility

Romanian entrepreneurial agri-business group Rodbun, which specializes in the production of seeds but also operates 50 stores for farmers, has signed a syndicated credit facility totaling EUR 101.5 million, through which it refinances past credit lines and increases existing facilities by EUR 37.14 million.

“Rodbun has the opportunity to continue its investments in genetics - with a special emphasis on the valorization of local genetics - in the development of seeds adapted to regional specifics and in the improvement of logistical capabilities through cutting-edge technologies. The company is also able to allocate resources to test cutting-edge technological innovations capable of increasing the resistance of crops to new climate changes. Thus, Romania will be better equipped to face the inevitable challenges of the coming decades," said Daniel Muntean, co-founder of Rodbun.

The credit facility includes three tranches, namely a EUR 93.5 million revolving loan, a EUR 2.86 million term loan facility, and a EUR 5.1 million CAPEX facility, which will be used by Rodbun to cover their working capital needs and to support the group’s development strategy, according to BCR Group – which arranged the loan facility.

CEC Bank, ING NV Amsterdam – Bucharest Branch, and Raiffeisen Bank acted as Mandated Lead Arrangers, together with Garanti BBVA and Alpha Bank as Lenders. PCF Investment Banking acted as an exclusive advisor to Rodbun Group in structuring, negotiating, and implementing the transaction.

With a team that exceeds 500 people, Rodbun Group manages approximately 8,000 hectares of seed production in farms located in regions with agricultural potential in Romania, operates three seed processing and conditioning factories, and owns a chain of 50 agricultural stores that serve small farmers.

The group has one of the strongest logistics infrastructures in the agro market, with regional logistics centers, regional warehouses, and grain storage capacities.

Rodbun reported EUR 147 million in revenues and EUR 10.4 million in net profit in 2022. The company’s debt was EUR 139 million, while the current assets were EUR 157 million.

(Photo source: BCR)