This document (the “Document”) has been prepared by AgriNova Nutrient Technologies (Pty) Ltd (“AgriNova” or the “Company”) to provide information to the Industrial Development Corporation, the Land and Agricultural Development Bank, the Development Bank of Southern Africa, the African Development Bank, commercial funding partners and prospective shareholders (together, “Recipients”) in connection with the proposed R3.25 billion expansion of the Company’s integrated fertilizer blending and agricultural-inputs operations (the “Project”).
It is furnished on a strictly private and confidential basis and may not be reproduced, redistributed or passed to any other person, in whole or in part, without the prior written consent of the Company.
Forward-looking statements
This Document contains forward-looking statements relating to the Company’s strategy, operations and prospects. These reflect management’s current expectations and are subject to risks and uncertainties, including global fertilizer-commodity price volatility, currency movements, port and logistics constraints, agricultural cyclicality, energy supply, regulatory and execution factors, that may cause actual outcomes to differ materially. Fertilizer inputs are globally traded, dollar-linked and highly volatile, and the sector is cyclical; projected revenues and margins should be read with that firmly in mind.
Independent re-underwriting
NoteHow to read the numbers in this Document
Management’s sponsor projections for revenue and EBITDA have been preserved. All figures below EBITDA, depreciation, financing costs, taxation and net profit, together with the working-capital, coverage, gearing and returns analysis, have been independently derived on a conservative basis. The sponsor provides no net-profit line; it has been independently re-underwritten here. Where this analysis differs from, or adds to, the sponsor’s summary figures, including on the equity contribution, the EBITDA-margin assumptions and the working-capital financing requirement, the differences are surfaced explicitly in the callout boxes rather than smoothed over.
No representation or warranty, express or implied, is given as to the accuracy or completeness of the information contained herein. Recipients should conduct their own independent evaluation and due diligence and obtain their own professional advice. This Document does not constitute investment, legal, tax or financial advice, nor an offer of securities.