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Agriculture


Expertise > Global Expertise > Banking and Finance > Agriculture
Agriculture is one of the key sectors in the global economy, with ever growing population levels fuelling demand across the world. As agriculture production expands across the globe, IFCs such as the BVI are increasingly being used by many of the world’s leading agricultural providers.

Overview

Harneys acts for a wide range of clients in the Agriculture sector, providing core services which include assisting with loan finance, acquisition and fund finance, structured finance, security enforcement and distressed debt.
 
One of our higher profile agricultural deals involved acting as BVI counsel in relation to a US$613 million note issue which enabled the shareholders of a Eastern European dairy business to monetise a put and call option granted by and to Danone, a world leading food company. The note issue was structured in a slightly unconventional way in order to eliminate the risk of a payment default, except for any option exercise dates, and the three note issuers were incorporated as restricted purposes companies, a bespoke class of BVI corporate vehicle which has strict limits on corporate capacity, which minimises insolvency risk for investors and enhance the marketability of the securities at a time of limited appetite for investor risk.
 
Other recent BVI Agriculture experience includes:
  • Advising the syndicate of banks lending to an Irish and UK based beef and lamb producer supplying retail and foodservice customers across continental Europe.
  • Acting as BVI counsel on a series of project and trade finance deals involving a leading Ukrainian agribusiness producer listed on the London Stock Exchange. These deals include the European Bank for Reconstruction and Development led project financing of a soya processing plant and a secured pre-export revolving loan facility from an ING Bank N.V. led syndicate financing the purchase of sunflower seeds and the export of sunflower oil and sunflower meat.
  • Advising COFCO (Hong Kong) Limited, a wholly-owned subsidiary of COFCO Corporation (COFCO), on the issue of US$1 billion guaranteed notes through a BVI incorporated special purpose vehicle. COFCO is the largest supplier of diversified products and services in the agricultural products and food industry in China.
  • Acting as BVI counsel to Charoen Pokphand Foods Public Company Limited (CPF) on the issue of US$290 million exchangeable bonds through a BVI incorporated special purpose vehicle. CPF is a leading agro-industrial and food company listed Thailand’s Stock Exchange and its business includes production of animal feed, livestock and aquatic farming, chilled food products and ready meals and the operation of fast food restaurants and convenience stores.

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Banking and Finance

Experience is what sets our banking and finance team apart from competitors and it is why clients trust Harneys for complex and challenging finance and banking work.Read More

Contacts

Colin Riegels
Colin Riegels

Managing Partner
British Virgin Islands
Tanya Cassie-Parker
Tanya Cassie-Parker

Partner
British Virgin Islands
Russell Willings
Russell Willings

Partner
British Virgin Islands
Michelle Frett-Mathavious
Michelle Frett-Mathavious

Counsel
British Virgin Islands
Joanna  Hossack
Joanna Hossack

Associate
British Virgin Islands
Publications

Articles & Updates

An unusual choice? The BVI Restricted Purposes Company 

Recent Experience

Harneys advises Goldman Sachs on US$613,000,000 debt issuance