Silver Fern Farms has secured a two-year extension and expansion of its bank funding facility, lifting the total available credit from NZD 449 million to NZD 520 million.
The deal comes with only a marginal increase in interest rates, reflecting favorable lending terms for the cooperative.
The move follows a recent rise in profits for the meat processor, which has strengthened its balance sheet and improved its standing with creditors.
By securing additional headroom in its credit facilities, the company is positioning itself to manage working capital needs and potential investment opportunities over the next 24 months.
This development underscores a broader trend of financial stability returning to parts of the New Zealand agribusiness sector.
After a period of margin pressure and supply chain volatility, improved profitability is allowing key players to renegotiate debt terms on more favorable bases.