Colombian Mayaguez gets USD-27.5m loan for expansion

Nov 3, 2014 - Colombian sugar and ethanol producer Mayaguez SA (CLB:MAYAGUEZ) said Friday it had obtained a loan of COP 56.61 billion (USD 27.5m/EUR 22m) as part of its expansion plan, estimated at up to USD 300 million.

The loan is for seven years, with an interest rate of Colombia's DTF plus 2.5%.

Mayaguez' expansion will include possible acquisitions of production units and lands or strategic alliances in Colombia and other countries. The company has recently announced the acquisition of Colombian sugarcane mill Ingenio San Carlos SA, planning to increase its market share by nearly 4%.

Mayaguez sells sugar on the local and international markets and has a capacity to produce 250,000 litres (66,040 gallons) of ethanol per day.

(COP 100 = USD 0.049/EUR 0.039)

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