HMH Rainbow is a joint venture between Alykhan Hudani (66.5% shareholding), a Ugandan businessman, and Rainbow Farms Investments Proprietary Limited (33.5% shareholding), a wholly owned subsidiary of RCL Foods Ltd., a listed South African food manufacturer

 The total Project cost is expected to be approximately US$12 million. The proposed investment is a convertible C Loan of up to US$5 million and an IDA PSW Loan of up to US$2 million.

 The proposed investment will support the Company’s capacity expansion comprising of: (i) construction of temperature-controlled broiler houses 50kms north Kampala, Uganda; (ii) improvement of abattoir operations including the installation of a spin chiller in the facility in Buwazi, Semuto, Uganda; and (iii) establishment of grain silos and bulk feed-dispatch systems in the facility in Buwazi, Semuto, Uganda.

This is a Category B project based on IFC’s 2012 Environmental and Social Sustainability Policy. The E&S risks and impacts associated with this project are limited, site-specific, and can be readily addressed through generally accepted mitigation measures described in this document. HMH Rainbow is committed to sustainably manage its feed mill, farms, and abattoir in compliance with Ugandan legal and regulatory requirements, IFC’s Performance Standards (PSs), World Bank Group (WBG) EHS Guidelines (General and Poultry Production/Processing) and credible voluntary standards (ref. animal welfare).

Key E&S risks and issues identified with this investment relate mainly to (i) existence of E&S risk assessments studies and environmental licenses and permits for all current and proposed facilities (ii) development and implementation of an effective environmental, human resource, health and safety (ESMS) management system, including EHS management plans and SOPs; (iii) existence of EHS organizational function and capacity to implement, monitor, and report on the company’s ESMS performance, including Key Performance Indicators (e.g. lost time injury frequency rate, incidents, air emissions, energy use); (iv) existence of emergency preparedness and response procedure, including Life and Fire Safety (L&FS) system; (v) waste management practices, including storage and disposal; (vi) effluent treatment and monitoring; (vii) existence of water abstraction permits for all boreholes at facilities, including meeting monitoring and reporting requirements; (viii) traffic management and community impacts; (ix) stakeholder engagement and community grievance mechanism; and, (x) supply chain risk assessment and management for procurement of local maize