The Andean Development Corporation (CAF) has approved a long-term corporate loan of US$400mn to Brazilian industrial group Votorantim, the multilateral financing organization said in a press release.
The Venezuela-based CAF said that the credit given to the group’s holding company Votorantim Participações would be split into two parts. The first is an US$80mn, 10-year credit line with 2.5 years grace, and the second is a US$320mn syndicated loan at seven years with 2.5 years grace. This is being led by Spanish bank BBVA.
CAF president Enrique García said that the loan, the largest the lender has ever approved for the private sector, fulfilled the institutional aims of the body by strengthening the private sector as a fundamental participant in the sustainable development of the region.
Votorantim is one of the largest economic and industrial conglomerates in Latin America. It operates in businesses such as cement, mining and processing of minerals, agroindustry, chemicals, hydroelectric power, paper and financial services, among others.