Alpen Capital has advised IFFCO Kisan Finance Limited (“IKFL”), India, in raising INR 700 million(USD 9.3million) in a structured INR term loan from KB Kookmin Bank, India. The facility has a tenure of 3 years, and the end use of the funds is for onward lending to finance purchase of new and used tractors. The facility carries a fixed interest rate for the entire tenor.
About IFFCO Kisan Finance Limited: Incorporated in 2017, IKFL is engaged in providing tractor financing for new and used tractors with a focus on rural segment and an average ticket size of ~US$ 4600. The company is promoted by the Indian Farmers Fertilizer Cooperative Limited (IFFCO), the largest manufacturer and marketer of fertilizers in India. IKFL is currently present in 4 states of Uttar Pradesh, Madhya Pradesh, Rajasthan and Bihar.
About KB Kookmin Bank: KB Kookmin Bank is part of the US$ 520Bn KB Financial Group, South Korea, which is amongst the largest financial services groups in South Korea. The group has business interests in insurance, banking, financial services, specialized credit and asset management.