Funding for ZS Siliņmalas II

Loan

• Amount € 10955.00
• Interest rate 10%
• Term 14m
• Collateral type Harvest
• LTV 57%

Description

This project gives LANDE investors an opportunity to provide funding in the amount of € 10 955 for ZS Siliņmalas to re-finance an exisiting loan for which loan term will be extended by additional 14 months. 

The annual interest rate of 10%, LTV of 57%. The loan principal payment, loan interest and monitoring fee are paid according to the Annuity principle with an accelerated loan repayment term in one payment.

The borrower is a farming company engaged in crop farming growing wheat and oats as well as manages 80 ha of agricultural land. Financial results in 2022 were: declared income € 24 043.

In order to secure the repayment of the loan, the borrower has concluded an agreement for winter wheat in the volume of 80 t. The repayment of the loan will be done once the harvest will be handed to the buyer.

The price of winter wheat is determined by the stock exchange and at the time of the harvest will be approximately € 240 per ton, thus the value of the harvest is estimated at € 19 200.

The borrower aims to repay the loan with incoming business revenue.

The borrower is a recipient of support payments from the European Agricultural Guarantee Fund and the European Agricultural Fund for Rural Development.