Closing USD 5m Term Loan with Mount Meru Millers Zambia
Samawati Capital Partners supported in the closing of a USD 5m facility to Mount Meru Millers Zambia through the Africa Agriculture and Trade Investment Fund. Mount Meru belongs to the larger group of Mount Meru companies in Southern- and Eastern Africa active in the food processing, logistics, construction, and petroleum sectors. The company produces edible oils and feed cakes as well as several smaller by-products from soya, sunflower, cotton, and palm oil. Products are sold in local and regional markets. Mt. Meru buys 95% of the inputs from local commercial farmers and aggregators/traders while 5% is sourced from smallholder farmers.
AATIF’s loan of USD 5m with a tenor of seven years will be used to fund the expansion of the refinery capacity, (silo) storage capacity, processing capacity, and packaging units in Zambia. Furthermore, AATIF seeks to work with the company on its local sourcing strategy, increasing its engagement with smallholder farmers producing sunflower and cotton seeds for further processing at Mount Meru Millers.