IFC likely to extend $100m debt to Indonesia’s snack producer Nabati

IFC's Pravan Malhotra at DEALSTREETASIA's Asia PE-VC Summit 2016

The International Finance Corporation (IFC), the private investment arm of the World Bank, is looking at extending a $100-million loan to Indonesia’s PT Kaldu Sari Nabati Indonesia (Nabati), a family owned snacks business, to fuel its expansion plans.

The new project aims to expand Nabati’s wafers, biscuits and snacks factory in Majalengka in West Java and is expected to cost $133 million of which $33 million is from internally generated cash while the rest is proposed to be financed by IFC.

“IFC’s investment consists of an A Loan of up to $40 million, a B loan of up to $30 million and an MCPP loan of up to $30 million,” a pre-investment disclosure statement from IFC said on Wednesday.

Nabati is a 1985-founded snack business by Krisdianto Lesmana and his wife. The venture produces wafers, biscuits, snacks and confectioneries currently under two brands: Richeese and Richoco. The company owns three plants in Indonesia in the cities of Cicalengka, Rancaekek and Majalengka, all located in West Java.

The company is part of the Nabati Group that has few lines of business including food manufacturing, quick service restaurants, domestic sales and distribution, international sales and distribution and property and building management services.

The founders in 2005 passed the leadership to their eldest son, Erwin Lesmana with other children holding management positions.

This is IFC’s second investment proposal in Indonesia this month after a bout of microfinance-based investments recently. In December, it had announced an investment of $40 million in the form of a senior loan facility to Indonesia’s SME lender PT Radana Bhaskara Finance Tbk.

In November last year, it disclosed a financing of up to $50 million to Indonesia-based microfinance institution PT Mitra Bisnis Keluarga Ventura (MBK) to support underserved rural women borrowers.

Also Read:

IFC extends $40m loan to Indonesia’s Radana to boost MSMEs lending

IFC commits to invest $15.3m in Vietnam’s DNP Water

IFC considering $30m convertible loan to HK-listed renewable energy firm Concord

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.