Funding agreement with Commonwealth Bank

Kangaroo Island Plantation Timbers is pleased to announce that it has entered into a funding agreement with the Commonwealth Bank of Australia.
Subject to certain conditions precedent, including all necessary development approvals, the Bank will lend up to $57.1 million in total. This will support 100 per cent of the anticipated construction cost of $30 million for the company’s proposed Smith Bay wharf plus an allowance for equipment finance and working capital.
The agreement contains provisions for up to $25 million of facilities should the Company elect to borrow against its expanded portfolio of land and timber assets in the future.
KIPT chairman, Paul McKenzie, who led the company’s negotiations said CBA’s Specialised Agribusiness Solutions team invested considerable time and expertise into understanding the business.
“We are pleased to have Australia’s biggest bank backing this important infrastructure project for South Australia, Kangaroo Island and our Company.”