CMI Alimentos’ $75 Million Loan


Arias advised IDB Invest on the transaction

IDB Invest, a member of the IDB Group, provided a $75 million loan to Corporación Multi Inversiones (CMI Alimentos) with the objective of ensuring its liquidity in the medium term and supporting the continuity and reactivation of its operations. The deal reinforces food security and income generation in Guatemala, El Salvador and Honduras.

The financing contributes to the company’s fixed investment maintenance plan, the maintenance of its jobs and its links with the local and regional markets. CMI Alimentos is one of the largest employers in Central America and the Dominican Republic, with around 30,000 employees. The funds will make it possible to strengthen the value chain in two ways: increasing purchases from the company’s more than 8,000 suppliers and benefiting the microentrepreneurs who make up its main direct sales channel, the majority of whom are women entrepreneurs.

Through this project, IDB Invest plays a countercyclical role, providing long-term financing that alleviates food security challenges, a key aspect in the fight against COVID-19. CMI Alimentos will support the supply of food in local markets, for example, animal protein, flour and derived products, in the context of operational, logistical and labor restrictions.

In addition, the deal will help reactivate the generation of income, through direct and indirect jobs, in rural areas of Central America, where vulnerable populations live strongly affected by the health emergency and hurricanes.

The financing consists of a $50 million loan from IDB Invest’s own funds and the mobilization of $25 million from the Chinese Co-financing Fund for Latin America.

Arias advised IDB Invest with a team including Roberta Gallardo (Picture), Ernesto Sánchez, Jorge Luis Arenales, Cindy Arrivillaga, Evangelina Lardizábal and Antonio Montes Rittenhouse.

Involved fees earner: Jorge Luis Arenales – Arias ; Cindy Arrivillaga – Arias ; Roberta Gallardo – Arias ; Evangelina Lardizábal – Arias ; Antonio Montes Rittenhouse – Arias ; Ernesto Sánchez – Arias ;

Law Firms: Arias ;

Clients: IDB Invest;

Author: Ambrogio Visconti.