CAPA Cologna issues a 6.5 million minibond with Cassa Depositi e Prestiti and Sella

Summary

The operation will enable the Ferrara-based agricultural business, which has over 1,600 members in the Emilia-Romagna region, to invest in advanced technologies for its sites, with the aim of increasing production and storage capacity.

Cassa Depositi e Prestiti and Banca Sella are the investors, and Sella Investment Banking, Sella’a division specialised in extraordinary financing, has been the advisor and arranger of the operation.

CAPA Cologna, an agricultural cooperative based in Riva del Po (in the province of Ferrara), with over 1,600 members in the Emilia-Romagna region, has issued a first, 6.5 million euro tranche of an 8 million euro minibond, to support its business plan development and consolidate its activities.

The issue of the 7-year bond will enable CAPA Cologna to support investments at its cereal processing sites in Libolla and Vigarano Mainarda (in the province of Ferrara) with activities to modernise and expand its facilities. In particular, new plants featuring state-of-the-art technologies will be developed, with the aim of increasing production and storage capacity, while guaranteeing increasingly high standards.

Banca Sella and Cassa Depositi e Prestiti are the investors of this first tranche, underwriting 4 and 2.5 million euro respectively. Sella, through its division specialised in extraordinary financing, Sella Investment Banking, has assisted CAPA Cologna as arranger of the issue and as exclusive financial advisor.

“The financial operation which has been approved is a reason for our cooperative to be proud, as it demonstrates the economic and financial robustness of the companies, considering the confidence shown in us by the decision-makers at Banca Sella and Cassa Depositi e Prestiti after analysing the financial statements. I believe that Capa Cologna has managed to efficiently use an innovative financial tool to invest in advanced technologies” said Alberto Stefanati, Chairman of CAPA Cologna.

“We are proud of this operation’s success, which confirms an increasing number of companies are seeking alternative financing to support their own investments in growth and competitiveness – declared Vincenzo Paolo Carbonara, CDP Head of Alternative Finance – Assisting outstanding Italian enterprises such as CAPA Cologna, active in the agrifood business - a strategic sector for our economy, is one of Cassa Depositi and Prestiti’s core goals”.

“The issue of the minibond to support the growth of robust businesses such as CAPA Cologna, which has been safeguarding and supporting the agricultural activities of its members for more than fifty years, continues to represent a structured finance solution that is highly effective and complementary to traditional banking solutions. Thanks to the business finance services offered by our Group, we can help businesses in their development plans, providing the most suitable tools to achieve their strategic goals” said Graziano Novello, Head of Private Debt at Sella Investment Banking.

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Established in 1970, the agricultural cooperative CAPA Cologna (Cooperativa Assistenza Produttori Agricoli) supports and safeguards the agricultural activities of over 1,600 members in the Po Delta area, providing qualified technical and farming assistance, and supplying useful products for growing soft wheat, durum wheat, maize, barley, soya, rice crops etc. Each year the cooperative collects and manages tons of cereals, oilseed crops and fruit and vegetables, with the possibility of cold storage or storage in warehouses for horticultural processing and packing. The cooperative is associated with Grandi Colture Italiane, also recognised as an Interregional Organisation of Producers, for the sale and promotion of cereals and oilseed protein crops.