Case study - HatchTech: Casestudy Hatchtech: Export of a hatchery to Peru

"Risky deals become more attractive"

Tjitze Meter, CEO HatchTech

At a glance

Company:

HatchTech

Trade sector:

Hatcheries

Market:

International

Challenge:

Hedging the payment risk on Peru plus finding a favourable loan to finance this.

Results:

Een op zich riskante transactie naar een ver land kon toch worden uitgevoerd door een dekking van zowel de goederen als de financiering.

How we made it happen:

An inherently risky transaction to a faraway country could still be carried out by covering both the goods and the financing.

"The Export Finance transaction, facilitated by Atradius insurance, was an important aspect for our Peruvian customer in their choice of us."

Tjitze Meter Tjitze Meter
CEO HatchTech Nederland
Recently, our economists gave an update on the country of Peru. This showed that there are good opportunities for Dutch business, especially in the agricultural and food sectors. A good example of this is the recently underwritten transaction of exporter HatchTech B.V. from Veenendaal.

The underwritten transaction concerns the supply of incubators and related materials and  systems for an integrated hatchery in Peru. The buyer is Don Pollo Loreto S.A.C., which is part of a group of companies known as Grupo Don Pollo. It is the leading player in the production of chicken meat, eggs and, to a lesser extent, pork. The company has been in existence for almost 15 years and keeps more than 1.3 million chickens. It sells its products in the region to middlemen and shops.

The machines in the insured transaction will be used for the expansion of an existing hatchery, thereby reducing costs and increasing the debtor's turnover. The delivery period is 6 months. Rabobank Export Finance provides a loan under the Export Credit Insurance Facility to finance the hatchery. The loan will be repaid in 5 years.
 

Atradius Dutch State Business insures:

  • the exporter during the execution of the contract by means of the capital goods policy (also called exporter's policy).
  • the lender Rabobank during the term of the loan by means of the financing policy.
  • The percentage of cover for commercial risks is 95% and for political risks 98%.
businessman looking out window
HatchTech was founded in 1995 and specialises in delivering turnkey projects for chick hatcheries, an essential link in the chain from egg to chicken.
 

From the very beginning, we also involved Atradius DSB alongside Rabobank in the whole negotiation process. Because not only we could insure our goods but also the bank could insure its loan to our customer, this gave us more favourable conditions and this significantly improved our competitive position compared to other suppliers.

Tjitze Meter
(CEO HatchTech)

Questions or advice?

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Please contact us via 020 553 26 93 or send an email to: info.dsb@atradius.com.