USD 80 Million Facility for Exalmar, a Leading Peruvian Fishmeal and Fish Oil Producer
New York, NY – May 1, 2008 - WestLB closed a USD 80 million Senior Secured Export-Backed Term Loan for Pesquera Exalmar S.A. (Exalmar), a leading Peruvian fishmeal and fish oil producer. The financing provided Exalmar with the funds needed to acquire 50 percent of the capital stock of Corporacion del Mar S.A. and to refinance existing indebtedness. As a result, Exalmar has strengthened its position as a leading producer and exporter of fishmeal by increasing its vessel capacity by 25 percent, and has also improved its liability management with a longer debt-maturity profile that better adapts to its cash flow dynamics.
Consolidation in the fragmented Peruvian fishmeal market has brought to the market a number of acquisition financings over the last 12 months. By supporting first movers as senior co-underwriters, WestLB gained the track record required to lead Exalmar’s financing, as Sole Lead Arranger and Sole Bookrunner. The mandate was awarded against strong competition from incumbent banks.
The facility was structured as an export-backed loan, secured by tangible assets (vessels, licenses and processing plants) and export receivables from designated customers located in Germany, Japan and China.
“The transaction was syndicated in a challenging market environment and was successfully executed, achieving oversubscription by an ample group of financial institutions, which evidences investors’ resilient appetite for well-structured credits,” said Antonio Pichardo, Director in the Diversified Industries sector. “The deal also set a benchmark for syndicated credit facilities for the fishmeal industry, featuring longer tenor and a tailor-made principal postponement mechanism triggered by adverse weather conditions.”
The transaction involves Exalmar’s successful debut in the international syndicated loan market and a step forward in WestLB’s strategy to market second tier names with sound credit.
About Exalmar
Exalmar is a medium-sized enterprise, part of a larger local, economic group with interest in agribusiness and real estate. Citi Venture Capital International also holds a minority stake in Exalmar.
About WestLB Capital Markets
WestLB develops sophisticated structured solutions through a team of highly experienced investment banking and capital markets professionals. WestLB has a long-standing presence in the corporate, structured and asset-backed financing sectors supporting clients' needs with capital commitments, advisory services and innovative financing solutions. The bank’s global relationships, coupled with its unique understanding of local economies, industries and cultures, help WestLB bankers consistently deliver high quality advice and service. For more information, please visit www.westlbmarkets.com.
About WestLB
WestLB AG is one of Germany´s leading financial services providers and offers the full range of products and services of a universal bank, focusing on lending, structured finance, capital market and private equity products, private banking, asset management, transaction services and real estate finance. WestLB has total assets of €286.5 billion, as of December 31, 2007. For more information, please visit www.westlb.com.
In the United States, certain securities, trading, brokerage and advisory services are provided by WestLB’s wholly owned subsidiary WestLB Securities Inc., a registered broker-dealer and member of the NASD and SIPC.
(NOTE: Year-end Earnings Release as of December 31, 2007, distributed to public on April 2, 2008)