Rikus Grobler | Oct 18, 2017 | 0
Agra grows and grows
Local agriculture cooperative turned public company, Agra, has borrowed N$100 million from the German Investment and Development Company, DEG (Deutsche Investitions und Entwicklungsgesellschaft), a subsidiary of the Kreditanstallt fuer Wiederafbau (KFW).
The loan is earmarked to finance Agra’s new retail and admin outlet in Lafrenz industrial township in Windhoek, and for the expansion of the Agra branch in Opuwo. The DEG sees the loan as an investment in the key agricultural sector and for Agra as a means to invest in local infrastructure.
The agreement was signed by Flip de Bruyn, Agra General Manager: Finance and Peter Kazmaier, Agra CEO while DEG was represented by Petra Kotte Senior Director, Structured Finance and Michael Fischer.
DEG is one of the largest European development finance institutions for long-term project and company financing. For more than 50 years, DEG has been financing and structuring the investments of companies in developing and transition countries to contribute to sustainable progress. Agra’s purpose to create prosperity and improve quality of life is in line with DEG’s contribution to achieve this progress.
The N$100 million will be utilized to upgrade and expand Agra’s retail infrastructure in Windhoek and Opuwo.
The investment in the Trustco Industrial Park in Lafrenz comprises four erven totaling 25,500m² on which a new state of the art, purpose-built Agra branch is to be built. This investment will enable Agra to grow its customer base, its services, and its product lines. In addition it will provide office space to the retail division’s management staff, the operational staff of the new branch as well as a coffee shop and extra retail space for other shop tenants. The Opuwo investment entails building a completely new retail branch structure on land adjacent to the current Agra branch. Both projects will be completed by the end of next year.