The International Finance Corporation, a member of the World Bank Group, has approved a loan worth VND340 billion (US$15 million) to Vietnamese animal feed producer Anova.
The loans, to be provided through a five-year convertible bond, will help Anova Feed JSC, a subsidiary of Anova Corporation, build two new plants and a warehouse in the next two years, according to an IFC release.
It would enable Anova Feed to triple its capacity, Anova Corporation CEO Nguyen Hieu Liem was quoted as saying in the statement.
IFC would also provide technical aid for expanding to other countries and strengthening corporate governance in preparation for a listing, he said.
In a comment on the investment, Kyle Kelhofer, IFC’s country manager for Vietnam, Cambodia and Lao PDR, said the IFC wants to support the sustainable development of Vietnam's agricultural sector, which is rapidly growing and accounts for over 20 percent of the country's GDP.
Founded in 2012, Anova Feed is one of eight animal health, feed and farming subsidiaries of Anova Corporation, a known veterinary medicine producer in Vietnam.