• Funding supports Ghana operations, Indonesian coconut milk plant acquisition
• IFC provides 7-year dollar financing with 24-month grace period
• Investment follows IFC advisory work to strengthen CBL’s distribution network
• CBL advances foreign growth across confectionery, packaged foods, natural foods

The Ceylon Biscuits Ltd. (CBL) Group has secured three loans totalling $ 40 million from the International Finance Corporation (IFC) to fund its foreign expansion projects.

According to disclosures published by the IFC dated 13 November, the corporation will be making an investment in the CBL Group in the form of three loans of up to $ 40 million.

The disclosures further stated: “The proposed investment (project) is a total amount of up to $ 40 million in the form of a secured A loan, with proceeds of $ 7.5 million allocated to CBL for the Ghana expansion, $ 7 million to CBL Global Foods Ltd., and $ 15 million to CBL Investments Ltd. for the acquisition of a coconut milk manufacturing plant in Indonesia.”

According to the IFC, this investment transaction with CBL arose directly from the advisory services previously provided to the CBL Group aimed at enhancing the efficiency of its distribution and retail network.

It was further disclosed that, as long-term US Dollar financing was not readily available in Sri Lanka, the IFC would extend to CBL these long-term US Dollar loan facilities with a tenure of seven years and a grace period of 24 months.

According to the IFC, it first undertook a pilot project with CBL in 2017 in the post-conflict Eastern Province with the objective of strengthening the capacity of the company’s distributors and retailers.

Subsequently, in 2019, the IFC implemented a national-level scale-up of the Distributor and Retailer Development Project, which concluded in November 2023. 

This project, funded under the IFC-DFAT Women in Work programme, addressed key gaps and barriers within CBL’s distribution network through a comprehensive and tailored capacity-building initiative. 

It supported business owners within the CBL network by enhancing financial planning and management skills; improving female participation, particularly in leadership roles; and promoting the adoption of digital payment systems.