BLP advises IDB Invest on granting a $40 million financing to Grupo Elcatex in Honduras
IDB Invest has granted a $40 million financial package to the companies Elcatex and San Juan Textiles, both members of Grupo Elcatex, one of the leading textile conglomerates in Honduras with more than 15,000 employees. The financing consists of $25 million from IDB Invest and the mobilization of $15 million.
BLP advised IDB Invest on the structuring of the financing as well as the preparation of guarantee documents and modification of the Trust held between the parties involved in the transaction while carrying out the registration process before the relevant government agencies.
The funds will support the creation of 2,000 new jobs in Honduras, the increase in purchases from local SMEs, and the acquisition of machinery and supplies to increase textile production and maintain the Grupo Elcatex´s decarbonization strategy.