Colombia: Grupo Empresarial Bavaria, the Colombian beer company, has closed its five-year, syndicated $150 million loan, led by the Andean Development Corp. (CAF) and ABN AMRO. CAF will provide 25% of the funds, while commercial banks will provide the remaining three quarters. The loan is repayable in seven semi-annual instalments beginning in January 2006.

In a statement, Bavaria said that the funds will finance ongoing investments in the brewer’s operations in Columbia, Ecuador, Panama and Peru.Bavaria announced in late December last year that it was applying for the loan, but did not reveal at the time what the funds would be used for.

The beer company has been acquiring smaller brewers in the region in the recent years, making it the second-largest brewer in South America. In August last year, the company reported consolidated net income of COP41.9 billion for the first half of 2003, down by 41% from COP71.5 billion in the first half of last year.

04 February, 2004