Saikexing milks ADB for A/B loan for dairy farming project

Skip to:

Inner Mongolia Saikexing Breeding and Biotechnology Group (Saikexing) has raised a $125 million yuan denominated A/B loan from Asian Development Bank (ADB) to part fund its $160 million sustainable dairy farming and milk safety project.

The project is a debut for ADB – its first direct non-sovereign assistance to a livestock company and its first private sector agribusiness investment with a specific focus on both environmental protection and food safety. 

The deal comprises two $62.5 million tranches. ADB is expected to have commercial lenders of the B loan in place in the coming weeks.

The funds will enable Saikexing – the fourth largest dairy farming company in PRC – to invest in state-of-the-art technologies that will halt the discharge of untreated animal waste and increase the use of waste for fertilizers, irrigation, and energy. It will also allow the company, which currently owns about 100,000 cows across 27 farms, to develop at least another four new farms with 20,000 cows in total. The project will be implemented over two years through to the end of 2018.

Related analytics

Transaction Name Stage Est. Value
Pertama plant/$284.31 million/0216 Financial close 284.31
BP Berau/$3.745 billion/1216 Financial close 3745.00
Hesteel Hong Kong/$150 million/1116 Financing 150.00
ONGC Videsh/$1.268 billion/0516 Financial close 1268.00
Natsteel/$410 million/0716 Financial close 410.00
No data available
More transactions

Trade Finance on Twitter