BSTDB Supports Kernel Group with USD 25 million in Pre-Export Finance Facility

BSTDB Supports Kernel Group with USD 25 million in Pre-Export Finance Facility

Press Release | 25-Oct-2024

Enhancing Ukraine's Agricultural Exports in Challenging Times

The Black Sea Trade and Development Bank (BSTDB) is providing up to USD 25 million to a pre-export finance facility for Kernel Group, a leading player in Ukraine's agricultural sector and one of the world's largest sunflower oil exporters. The BSTDB funds will help the company have the necessary working capital to procure, process, store, and transport oilseeds and vegoils, ensuring their export to global markets.

BSTDB's financing is part of a USD 150 million syndicated facility, arranged by ING Bank NV and Coöperatieve Rabobank U.A.

"We are pleased to extend our continued and unwavering support for Kernel's operations during this critical and challenging times. Agriculture remains an essential pillar of Ukraine's economy despite the immense challenges posed by the conflict. By facilitating production and exports of vital agricultural goods, we are not only sustaining a vital industry that feeds millions, but we also actively contributing to the economic resilience and recovery of Ukraine. This partnership is a testament to our shared commitment to supporting the country's long-term prosperity, even under the most testing circumstances", said Dr. Serhat Köksal, BSTDB President.

"In spite of the challenging political and economic environment, Kernel repaid its 2024 Notes on time and continues to meet its financial commitments. The strong credit history allowed the Company to attract new financing even during current unprecedented times. We are thankful to our partners, including the Black Sea Trade and Development Bank, for their support and willingness to continue our long-term cooperation. The facility is aimed to finance our working capital for procurement of sunflower seeds and beans for further processing and exporting of the vegetable oils and meals to the international market thus making an important contribution to the world food safety.", commented Sergiy Volkov, the CFO of Kernel.

Kernelis a leading vertically integrated Ukrainian agribusiness player with domestic and international operations. It is the largest oilseed crusher in Ukraine.

The Black Sea Trade and Development Bank (BSTDB) is an international financial institution established by Albania, Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Romania, Russia, Türkiye, and Ukraine. The BSTDB headquartersare in Thessaloniki, Greece. BSTDB supports economic development and regional cooperation by providing loans, credit lines, equity and guarantees for projects and trade financing in the public and private sectors in its member countries. The authorized capital of the Bank is EUR 3.45 billion. For information on BSTDB, visit www.bstdb.org.

Contact:

Haroula Christodoulou

Phone: +30 2310 290533

: @BSTDB

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