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TRANSACTIONAL FINANCE
Undisclosed Amount
(France - Cocoa Trading)
Lender - Bank
Finance Advisor - Cofarco SAS
December 2015
Cofarco appointed financial advisor of specialist cocoa trader Rockwinds.

Rockwinds, created in 2014, specialises in the sourcing and sale of West African cocoa to the industry and the trade around the world.

Based on 20 years of experience in cocoa, its founding shareholder has supply networks in the major producing countries of Ghana, Ivory Coast, Nigeria and Cameroon.

Having traded successfully for over a year using shareholders funds, the company is now looking to get access to third party funding to accommodate the development of its trading activity and its increased working capital requirements moving forward.

As part of this objective, Rockwinds engaged Cofarco to advise the company on an on-going basis on its financing strategy and to raise transactional finance lines with specialist lenders.

A first transactional finance facility was signed and drawn in December 2015 with a specialist bank for the financing of pre-sold cocoa beans and products purchased from West African suppliers and on-sold to international markets with a sub-limit for inventory financing under CMA in Europe. The facility structure is self liquidating and secured at all times by  underlying goods and/or  trade receivables on the end-buyers.

Commenting on the deal, Frederic Blanchi, Executive Partner at Cofarco says « In contrast with widespread market sentiment, this transaction goes to show that liquidity for a new trading initiative can be found in the banking market within 3 months. In the case of Rockwinds, the experience of the firm’s management, the successful track record for the first year in business and the quality of the underlying commercial contracts helped create interest and comfort for the lenders. Discussions are progressing well for a second line with a new bank which will give Rockwinds additional funding capacity for the next campaign.”