Oxbury Agricultural Finance has secured a $200 million funding facility from a private credit fund, marking a significant expansion of its capital base.
The Hawke's Bay-based livestock lender, which is part-owned by Marcus and Edwyn Kight, will use the capital to support its agricultural finance operations.
The move signals a strategic shift toward diversifying funding sources beyond traditional banking channels, tapping into the growing pool of wholesale private credit investors.
The deal underscores the increasing role of private credit in the agricultural sector, where specialized lenders are seeking alternative capital to meet demand for farm financing.
By accessing private credit markets, Oxbury aims to strengthen its liquidity position and potentially offer more competitive terms to its borrowers.
This development comes as non-banking financial companies across the region have seen modest growth in outstanding loans, driven by higher credit demand from the private sector.