The Inter-American Investment Corporation Continues To Support The Growth Of Argentina’S Grapegrowing And Winemaking Industry
09/21/2008The IIC loan will further the development of a rural area of Argentina
Washington, D.C. - On September 19, 2008, the Inter-American Investment Corporation (IIC) and Fincas Patagónicas S.A. signed a loan agreement for up to US$2 million. Fincas Patagónicas is a family-owned business that makes fine wines for export. It owns land in some of the best wine grape growing areas in Mendoza province, Argentina’s largest and most important wine-producing region and one of the most important in South America.
Fincas Patagónicas is one of the most technologically advanced wineries in Argentina and has successfully entered international markets such as the U.S. and Europe. The company combines the best of modern and traditional winemaking techniques.
The IIC loan will enable Fincas Patagónicas to expand its production capacity. The long term of the IIC loan serves as an example of a new way to provide financing for SMEs in Argentina.
With this project, the IIC will support the growth of an export-oriented Argentine SME operating in a growing, strategic sector that is a significant generator of foreign exchange. It will also foster the development of a family enterprise by enabling it to strengthen its competitive position in a sector dominated by large corporations with international backing.
According to Jorge Daniel Ortiz, CEO of Fincas Patagónicas, "As owner of the winery, I am very grateful to the Inter-American Investment Corporation for performing an exhaustive review of our business, providing us with support for evaluating our investments and their impact on our company’s growth, and, above all, for having confidence in our company in financially turbulent times. We are sure that this loan will help us increase our production and export capacity in a business that definitely needs long-term investment."
The Inter-American Investment Corporation is a multilateral financial institution that is a member of the Inter-American Development Bank (IDB) Group. It provides 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 2007, the IIC reached US$1.2 billion in assets and approved 62 transactions channeling US$470 million to SMEs in the region. 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. For more information on the IIC’s activities, please visit www.iic.int.
Contact: Javier Barsantini (in Chile)
Telephone: + (562) 431-3724