Company name

AGCO Capital Argentina S.A.

Project number

AR3905A-01

N/A

E&S category
tooltip

N/A

Country

Argentina

Sector

Financial Institutions

Status

In implementation

Disclosed date

03/31/2010

Projected date at which a project will be put forward for the Board of Executive Directors’ approval.

Projected board date
tooltip

05/04/2010

Approval date

05/25/2010

Signed date

N/A

Sponsoring entity

N/A

Team leader

Orellana, Ana Maria

Investment type

Syndicated amount

N/A

Financing amount

USD $ 10,000,000

Currency

N/A

Project scope and objective

In order to boost their business in the agricultural sector, AGCO Corporation and Rabobank, through Rabobank affiliate De Lage Landen, have partnered in several countries and formed companies that provide financing to buyers of agricultural equipment. Worldwide, the joint venture is called AGCO Finance.



AGCO Corporation, a U.S. corporation with assets of nearly US$4.9 billion, is a leading manufacturer and distributor of agricultural equipment. Its products are sold under the Challenger, Fendt, Massey Ferguson, and Valtra brands. AGCO Corporation operates in more than 140 countries with a network of more than 2,800 dealers who, in addition to selling and servicing the machinery, provide farmers with tailored financing.



De Lage Landen was founded in 1969 as a leasing company based in the Netherlands. It has become a global provider of leasing, business, and consumer finance solutions, including vendor finance and factoring. It is present in more than 35 countries in Europe, North America, South America, Australia, and Asia, and has 5,000 employees.



AGCO Capital Argentina S.A. provides financing in the form of pledge loans to individuals and small and medium-size companies in Argentina, chiefly for the purchase of agricultural equipment. Most of the financing is dollar-denominated; to be eligible, the farmers must produce commodities such as corn, wheat, sunflower seeds, and soybeans. AGCO Capital Argentina S.A. has a financing agreement with AGCO Argentina’s nationwide network of 150 dealers.



The proceeds of the IIC loan to AGCO Capital Argentina S.A. will be used to provide financing to small and medium-size enterprises in Argentina by granting loans secured by pledges on equipment pursuant to eligibility requirements to be established by the IIC.


For inquiries, comments and information requests about the project

Request information

Learn more about how we provide private-sector solutions in the region.

Environmental and social review

IDB Invest conducts an environmental and social due diligence (ESDD) commensurate with the nature, scale, and stage of the project, and with its level of environmental and social risks and impacts. The ESDD will confirm the project E&S categorization and assess the project with respect to the client requirements in IDB Invest Environmental and Social Sustainability Policy. The results of the ESDD, including any identified gaps are described in the Environmental and Social Review Summary (ESRS) provided below. For projects approved as of 2016, any gaps with respect to IDB Invest's Environmental and Social Sustainability Policy at the time of the ESDD are addressed in the Environmental and Social Action Plan (ESAP) presented below, to comply with the date mentioned above.

ENVIRONMENTAL AND SOCIAL REVIEW

29.6 Kb

For inquiries, comments and information requests about the project

Request information

Learn more about how we provide private-sector solutions in the region.

Contact information

For inquiries, comments and information requests about the project

Request information

Alternatively, you may also use the following contact information:

Client Contact

CONTACT NAME

N/A

POSITION

N/A

PHONE NUMBER

N/A

EMAIL

N/A

IDB Invest Contact

EMAIL

requestinformation@idbinvest.org

PHONE

+1(202)-566-4566

ADDRESS

1350 New York Ave NW, Washington, DC 20005

COUNTRY OFFICES

IDB Invest Country Offices