HMH’s majority shareholder is the Hans Merensky Foundation (“HM Foundation”) with a 50.1% shareholding. The HM Foundation’s primary mandate is to promote science by driving the Company’s research and development strategies. The second largest shareholder with 37% shareholding is Industrial Development Corporation of South Africa Limited, a government-owned development finance institution whose objectives include the development of the South Africa’s industrial capacity and implementing the Country’s industrial policy. The other shareholders are Vuka (5.1%), WIPHOLD (4.1%) and an HMH Employee Share Option Plan (3.7%) which are Broad-Based Black Economic Empowerment (“BBBEE”) shareholders.

The total project is estimated at ZAR 1.043 billion. IFC is contemplating a minority equity investment of up to 20%, which will contribute to financing the Company’s capital expenditure over a five year development period. The balance of the project funding is to be provided by other commercial lenders as well as internally generated funds.

34.59 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan
Equity	34.59

* These investment figures are indicative

HMH is headquartered at 9 Eton Road, Parktown, Johannesburg, South Africa. The Group’s site locations include:
Limpopo province (South Africa) – 10 700 ha of Eucalyptus plantations, 1 timber processing facility, 1 321 ha of avocado orchards with a packhouse, processing plants for avocado puree, dried mango, fruit juice, avocado oil and avocado ripening;
Mpumalanga (South Africa) - 5 800 ha of mainly hard wood timber plantations;
Kwa-Zulu Natal (South Africa) – 40 700 ha of Pine plantations, 2 timber processing facility, 286 ha of avocado orchards with a packhouse and 1 processing plant for avocado oil;
Eastern Cape (South Africa) – 17 000 ha of Pine plantations and1 timber processing facility;
Western Cape (South Africa) – 1 avocado ripening facility;
Kent (United Kingdom) – avocado and exotic fruits ripening and distribution facilities;
Rungis Zone Euro Delta (France) – avocado and exotic fruits ripening and distribution facilities;
Maasdijk (Holland) - avocado and exotic fruits distribution facilities;
Peru – 120 ha of existing and 390 ha of proposed avocado orchards through a joint venture;
Columbia – 1 proposed avocado packhouse; and
Mexico – 100 ha proposed avocado orchard.

The development impact of the project is expected to include:
Employment creation: The Company has about 4,300 employees. The expansion of its operations and market position in South Africa and South America is expected to lead to the creation of more jobs.
Rural Development: The project will make significant contribution to the development of rural communities in South Africa.
Women Inclusion: The project will enhance inclusion as a significant number of the Company''s business units employ largely women.
Increased tax and export revenue for government.

IFC''s additionality on the Project includes:
(i) Provide long-term capital necessary for the execution of the project.
(ii) By financing its operations, IFC will establish an important corporate relationship to help HMH expand in existing as well as new emerging markets in Africa and Latin America in the medium term.
(iii) The project will have a strong demonstration effect and attract further investment and development in Agribusiness in Africa.
(iv) Through the investment IFC will bring its global expertise /best practice to HMH - particularly as it relates to forest management, certification and carbon issues.
(v) IFC''s involvement will enhance and align the Company''s adherence to high environmental, safety and social standards.

This is category B project according to IFC’s Policy on Social and Environmental Sustainability because a limited number of specific environmental and social impacts may result that can be avoided or mitigated by adhering to generally recognized performance standards, EHS general and sector-specific guidelines or design criteria as is described in the Environmental and Social Review Summary.