IIC approves loan to Grupo FinTerra S.A. de C.V. in Mexico
12/06/2010Loan proceeds will contribute to the development of Mexico’s agricultural sector
Washington, D.C. - On December 7, 2010, the Inter-American Investment Corporation (IIC) approved a loan of up to MX$50 million (fifty million Mexican pesos), equivalent to approximately US$4 million, to Grupo FinTerra S.A. de C.V. (FinTerra) in Mexico. This is the IIC’s second operation with the company, and it will further strengthen the strategic relationship between both institutions.
According to Mónica Navarrete, IIC investment officer in charge of the operation, "With this medium-term loan in local currency, the IIC continues to support Mexico’s agricultural sector. This financing will allow the company to meet its goals of diversifying its sources of funding and providing financing to a sector that is underserved by local commercial banks in Mexico."About Grupo FinTerra S.A. de C.V.
Established in June 2003, FinTerra is a Mexican company that serves SMEs in the agricultural sector. It began to operate as a Sofol (limited-scope financial institution), a regulated entity, and became a Sofom (non-bank lending and finance institution), an unregulated entity, in 2008 in accordance with provisions from the Mexican authorities that all Sofoles had to convert to Sofomes no later than 2013.
The company has a central office located in Mexico City and ten branches covering 70% of national territory where there is demand for agricultural financing.About the IIC
The IIC is a multilateral financial institution that is a member of the Inter-American Development Bank Group. The IIC’s mission is to promote the economic development of its regional member countries by encouraging the establishment, expansion, and modernization of private enterprises, particularly those that are small and medium in size. It does so by providing financing (in the form of equity investments, loans, guarantees, and other instruments) and advisory services to private enterprises in Latin America and the Caribbean. In 2009, the IIC reached US$1.4 billion in assets and approved 40 operations channeling US$299.8 million to SMEs in the region. For more information on the IIC’s activities, please visit www.iic.int
Contact: Mónica Navarrete (in El Salvador)
Telephone: + (503) 2233-8901