Summary of Proposed Investment
Project Number
31439
Company Name
Holding Tonicorp S.A.
Date SPI Disclosed
Feb 23, 2012
Country
Ecuador
Industry
Agribusiness and Forestry
Projected Board Date
Mar 30, 2012
Status
Active
Sector
Dairy Products
Department
Gbl Ind, Manufact, Agribus & Services
Environmental Category
B - Limited
Previous Events
Approved : May 8, 2012
Signed : May 11, 2012
Invested : May 6, 2013
Project Description
Tonicorp is one of the largest agribusiness companies in Ecuador. Through its subsidiary Industrias Lacteas Toni SA (“ILT”), Toni is the leading dairy company in Ecuador. The Group processes milk purchased from +2,400 farmers into a wide range of dairy products (UHT milk, flavored milk, cream, butter, cheese and yogurt) and produces bottled water, energy drinks and fruit beverages from concentrate under the licensed ‘Tampico’ brand. In all product categories Toni commands between 50-70% market share. The Group also owns Plasticos Ecuatorianos SA (“Plasticos”), a packaging plant that supplies the dairy business and sells to 3rd parties, and Dipor SA (“Dipor”), which distributes all of ILT’s products.
With a production capacity of ~200,000 liters of milk/day, Toni operates a plant located in an industrial area of Guayaquil. This plant, originally designed in the early 1970s to produce 7,000 MT/year of yogurt, is currently producing +30,000 MTs. Although the Group has managed to grow its capacity over time in order to keep up with increasing demand, the plant is currently cramped, having reached a point where there is no more space to grow, or changes to the layout would derived in loss of efficiencies. Therefore, ILT is currently planning to move the plant to a new site (the “Project”). This will allow increasing production capacity, generating efficiencies through better layout, newer equipment and improving E&S management.
With a production capacity of ~200,000 liters of milk/day, Toni operates a plant located in an industrial area of Guayaquil. This plant, originally designed in the early 1970s to produce 7,000 MT/year of yogurt, is currently producing +30,000 MTs. Although the Group has managed to grow its capacity over time in order to keep up with increasing demand, the plant is currently cramped, having reached a point where there is no more space to grow, or changes to the layout would derived in loss of efficiencies. Therefore, ILT is currently planning to move the plant to a new site (the “Project”). This will allow increasing production capacity, generating efficiencies through better layout, newer equipment and improving E&S management.
Sponsor / Cost / Location
Development Impact
Related ESRS/ERS
Contacts
For Inquiries About the Project, Contact
Mr. Edward McIntosh
General Manager
Km 71/2 Via a Daule
Guayaquil, Ecuador
+593-4-3701300
General Manager
Km 71/2 Via a Daule
Guayaquil, Ecuador
+593-4-3701300
For Inquiries and Comments About IFC, Contact
General IFC Inquiries
IFC Corporate Relations
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384
E Mail: Webmaster
IFC Corporate Relations
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384
E Mail: Webmaster
Local Access of Project Documentation
Disclosure documents are available at http://www.tonisa.com/IFC and at Toni’s plant gate located in following address:
Km 7 ½ Via a Daule,
Guayaquil, Ecuador.
Person to contact: William Salcedo. Telephone (593-4) 3701300
Km 7 ½ Via a Daule,
Guayaquil, Ecuador.
Person to contact: William Salcedo. Telephone (593-4) 3701300