EBRD increases support for Moroccan cheese maker Land’Or with €3.5m loan financing
09-02-2022 10:50:00 | by: Pie Kamau | hits: 5719 | Tags:

The European Bank for Reconstruction and Development (EBRD) is strengthening its support for the Moroccan agribusiness sector and regional integration, with new financing for Land’Or Maroc Industries (LMI), the Moroccan subsidiary of Land’Or, a Tunisian producer of processed cheese.

A loan of MAD 36.9 million dirham (€3.5 million equivalent) to LMI will finance the acquisition and installation of additional equipment and the construction of a storage extension at its new cheese manufacturing plant in Kenitra, Morocco. These funds, which are the EBRD’s second financial package for Land’Or, will also finance the working capital needs of LMI operations.

The Bank provided a €10.9 million loan package to Land’Or in 2020 to partially fund the construction of a new LMI cheese plant in Kenitra that is expected to be operational early in Q2 2022. The financing will advance the EBRD’s efforts to strengthen small and medium-sized enterprises (SMEs) in Morocco and integration with other economies in the Maghreb region.

Land’Or has been part of the EBRD Blue Ribbon programme since February 2020. The programme, dedicated to high-potential SMEs, is helping the company through technical assistance to adopt the International Financial Reporting Standards as well as to increase its export potential and operational efficiency.

Land’Or, a Tunisian joint-stock company, is one of the leading local producers of processed cheese. The firm was created in 1994 by Hatem Denguezli and Hichem Ayed and has been listed on the Tunis Stock Exchange since 2013. Land’Or Maroc Industries is the company's subsidiary, established in 2019, and manages the industrial projects of Land’Or in Morocco.

The EBRD places a strong emphasis on providing finance for private-sector firms in Morocco and Tunisia. To date, the EBRD has invested nearly €3.2 billion in Morocco through 80 projects.

www.ebrd.com