March 31, 2020
Nafoods in Vietnam accelerates production plans with a 5 million USD investment from Finnfund
Nafoods Group and Finnfund have signed a 6 year, 5 million USD senior secured loan facility. Nafoods will use the loan proceeds for a new value-added products processing facility at its Long An factory, including 150MT monthly processing capacity for soft dried sugar and non-sugar tropical fruits and up to an additional 150 MT production capacity for all natural cashew and peanut butters.
Nafoods plans to do this in two phases: Phase 1 by end of May 2020, and Phase 2 by the end of 2020. Nafoods’ CGO & BOD member Ryan Galloway commented, “Nafoods is very fortunate to have long-view partners like Finnfund to support our vision of delivering Vietnam-made, quality value-added products to developed markets in spite of Coronavirus’ current global economic impact. We look forward to working with Finnfund over the life of the project.”
Nafoods’ Chairman/CEO Nguyen Manh Hung said, “Nafoods has a responsibility now more than ever to get healthy products in the hands of those that need them most. Thanks to Finnfund’s support, we will be able to accelerate our production plans and do our part to support during this time of international need.”
“By sourcing fruits from various regions in Vietnam, Nafoods is improving reliability of income of small-holder farmers”, said Markus Pentikäinen, Finnfunds’ Investment Manager. “Nafoods with their modern processing and packaging facilities is a good example of a company supporting the entire agricultural value chain and thus having a significant contribution to the local economy. Financing sustainable and export-oriented agribusiness companies like Nafoods is a major focus of Finnfund’s strategy.”
More information: Communications and Marketing Manager Valpuri Mäkinen, Finnfund, valpuri.makinen (a) finnfund.fi, tel. +358503842105
Founded in 1995, Nafoods Group (HoSE: NAF) is an agribusiness conglomerate spanning seedlings, juice concentrate and frozen fruit, soft dried tropical fruit, and nut butters. Nafoods exports to more than sixty countries worldwide, seeing revenue growth of over 42% per year for the past 2 years. Nafoods Group investor base includes both World Bank’s International Finance Corporation (IFC) and the Finnish Fund for International Cooperation (Finnfund). For more information, visit https://www.nafoods.com