Cairo, Egypt, August 1, 2010
—IFC, a member of the World Bank Group, is helping Egypt’s Wadi Holdings S.A.E. expand operations, which will boost food supply in the country, create jobs and support small, rural third-party suppliers and farmers.
IFC’s loan of up to $25 million will help finance Wadi’s $100 million expansion program, part of the company’s strategy to grow its core businesses through vertical integration and diversification. The loan—IFC’s third round of financing for Wadi—will enable the company to increase table egg production, establish a salt water fish farm, and improve the efficiency of its poultry feed production, among other activities.
The expansion is expected to increase food production for the Egyptian market, provide additional, lower-cost alternatives to imports, and help the company strengthen its export business.
“We are pleased to have IFC as a long-term partner. Its expertise and financing have been instrumental in helping our company grow and improve practices over the years,” said Musa Freiji, Chairman of the Board of Wadi Holdings. “IFC’s multiple rounds of financing for Wadi Holdings and its affiliates demonstrate confidence in our ability to implement much-needed projects and manage them to success.”
In addition to providing global expertise and financing, IFC’s long-term relationship with Wadi includes continued support for the company’s efforts to strengthen corporate governance, environmental and social practices.
Oscar Chemerinski, IFC Director of Agribusiness, said. “IFC is pleased to continue supporting the expansion of a leading poultry and agribusiness company in the region. This investment fits well with our strategy in Egypt of strengthening the competitiveness of local agribusiness companies that contribute significantly to job creation and the economy.”
Previous IFC investments in Wadi have helped the company expand and increase employment opportunities. In June 2005, IFC committed a $15 million loan to help the company construct a glass food container plant, set up a modern poultry feed mill, and expand its olive and vegetable production. In July 2007, IFC committed a $25 million loan to help the company improve the efficiency of its poultry operations and food production, and expand its olive groves and exports of glass food containers.
About IFC
IFC, a member of the World Bank Group, is the largest development institution focused on the private sector in developing countries. We create opportunity for people to escape poverty and improve their lives. We do so by providing financing to help businesses employ more people and supply essential services, by mobilizing capital from others, and by delivering advisory services to ensure sustainable development. In a time of global economic uncertainty, our new investments climbed to a record $18 billion in fiscal 2010. For more information, visit
www.ifc.org
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About Wadi
Wadi is a leading agribusiness group in Egypt established by the Lebanese Freiji and Nasrallah families in 1984. The company has a strong commitment to environmental and social sustainability. In recent years, the company has put in place high-quality management systems, obtained ISO and HACCP certifications for its key operations, and received international organic certification for its grape and olive farms. It presently employs 3600 persons and exports 10 percent of its diversified production.
