Rabobank Increases Shareholding in FinTerra
Rabobank has increased its participation in FinTerra, a non-bank financial institution in Mexico dedicated to the agribusiness sector, through a capital increase. Rabobank has increased its share in FinTerra from 25% to 37.5%, with an option to acquire control in the future.
Manuel Gonzalez, managing director and general manager of Rabobank’s Mexico representative office, said: “Over the last two years, through Rabobank’s participation in FinTerra, we have become more and more convinced of the promise of rural lending in Mexico and of FinTerra’s role as a key player in the sector. Rabobank looks forward to continuing to work with FinTerra to provide financing to an even broader clientele across Mexico’s food and agricultural sector.”
Rabobank opened its Mexico City office in 1993, and since then has helped build a substantial portfolio in the Mexican corporate agribusiness segment. Through its stake in FinTerra, Rabobank seeks to expand into the Mexican farmer and small agribusiness finance sector, where demand for financing outstrips supply. FinTerra will also allow Rabobank to finance its growing number of US agricultural clients who have operations in Mexico.