Premier Quality Kenya Dairy Business Plan — Appendix C: Funding and Debt Schedules

Drawdown, interest and amortisation schedules for the KES 10m term loan at 15.5% with a three-year principal grace period.

Appendix C: Funding and Debt Schedules

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  • C.1 Debt service schedule
  • C.2 Opening balance sheet at day zero
  • C.3 Working capital

C.1 Debt service schedule

KES

Year 1

Year 2

Year 3

Year 4

Year 5

Opening balance

10 000 000

10 000 000

10 000 000

10 000 000

9 110 239

Interest at 15.5%

1 550 000

1 550 000

1 550 000

1 550 000

1 412 087

Capital repaid

— (grace period)

— (grace period)

— (grace period)

889 761

1 027 674

Total debt service

1 550 000

1 550 000

1 550 000

2 439 761

2 439 761

Closing balance

10 000 000

10 000 000

10 000 000

9 110 239

8 082 565

of which current portion

0

0

889 761

1 027 674

1 186 963

of which non-current portion

10 000 000

10 000 000

9 110 239

8 082 565

6 895 602

EBITDA

(1 645 000)

(740 000)

1 802 000

3 687 000

5 233 000

Debt service cover

-1.06x

-0.48x

1.16x

1.51x

2.14x

Cover without the three-year grace

-0.81x

-0.36x

0.89x

1.82x

2.58x

Gearing

42.7%

49.1%

50.3%

44.7%

36.0%

C.2 Opening balance sheet at day zero

KES

Note

Biological assets — 20 in-calf heifers

4 000 000

Carried at cost; not depreciated

Property, plant and equipment

8 900 000

Fixed capital expenditure as drawn

Cash

14 445 000

Working capital, contingency and the funds reserved for the Years 2 to 4 heifer purchases

Total assets

27 345 000

Share capital

17 345 000

Promoter equity

Term debt

10 000 000

Ten years at 15.5% with a three-year principal grace

Total equity and liabilities

27 345 000

C.3 Working capital

KES

Year 1

Year 2

Year 3

Year 4

Year 5

Feed and forage inventory at 60 days

522 082

935 671

1 280 548

1 604 877

1 920 329

Trade receivables at 21 days

251 310

486 855

792 074

1 041 830

1 263 912

Trade payables at 30 days

(494 219)

(756 329)

(983 425)

(1 185 288)

(1 375 479)

Net working capital

279 173

666 197

1 089 197

1 461 419

1 808 762

Movement in the year

(279 173)

(387 024)

(423 000)

(372 222)

(347 343)