Favorita Group $ 110 Million Secured Syndicated Loan – Global Legal Chronicle


Holland & Knight advised Banco Latinoamericano de Comercio Exterior, SA (Bladex) as administrative agent, guarantee agent, sole manager and bookrunner in connection with the transaction. Ecuadorian law firm Noboa, Peña, Larrea & Torres and British Virgin Islands law firm Mourant Ozannes acted as co-counsel on the case.

Banco Latinoamericano de Comercio Exterior, SA (NYSE: BLX) entered into a seven-year US $ 110 million syndicated loan in favor of Favorita Trading Co. Ltd., Fertisa Fertilizantes, Terminales I Servicios CL, Fertisa AGIF CL, Reylacteos CL and Reybanpac, Rey Banano del Pacifico CA The loan was guaranteed by Favorita Fruit Co. Ltd.

The loan proceeds will be used to improve the Company’s debt maturity profile and fund its continued expansion. The loan was oversubscribed 1.4 times, which allowed Favorita to increase the amount of the facility to $ 110 million from its original target of $ 80 million.

This transaction marks the third syndicated facility arranged by Bladex for Favorita, following a $ 70 million senior term loan facility successfully closed in 2017 and a $ 102 million senior term loan facility closed in 2015. Holland & Knight advised Bladex on each transaction.

Favorita Fruit Co. Ltd. is a major Ecuadorian agro-industrial conglomerate with diversified business activities including bananas, dairy products and fertilizers.

Bladex is a supranational bank established by the central banks of Latin American and Caribbean countries to promote foreign trade finance and economic integration.

The Holland & Knight assistant Bladex team consisted of partner Stephen Double (pictured) and partner Anthony Rydelek.

In Quito, Noboa, Peña & Torres advised Bladex with Patricio Peña Romero.

Dying Ozannes advised Bladex in the British Virgin Islands with Rachael McDonald and Saraid Taylor.

Remunerator of the costs involved: Stephen Double РHolland & Knight; Anthony Rydelek РHolland & Knight; Rachael McDonald РDying Ozanne; Saraid Taylor РDying Ozanne; Patricio Pe̱a Romero РNoboa, Pe̱a & Torres;

Law firms: Holland and knight; Dying Ozanne; Noboa, Peña and Torres;

Customer base : Banco Latinoamericano de Comercio Exterior SA;



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