Agri Mall Finance Scheme


PURPOSE OF FINANCE:

 

Four renowned companies of the country such as M/S Ali Akbar Group, Millat Tractors, PSO and Engro Services have established a joint venture company in the name of the Agrimall (Pvt) Ltd to provide agro services under one roof through its Franchisees.

 

The Agrimall (Pvt) Ltd has approached our Bank to provide financial help to their franchisees to establish and run these Agrimalls under their specialized management through out the country.

 

We have launched a Kissan Dost Agrimall Finance Scheme. All facilities required by the Franchisees of the Agrimall (Pvt) Ltd will be provided through this scheme. The farmers who will be the clients of Franchisees, will also be provided production loans through Bank’s Kissan Dost Agriculture Finance Scheme (For purchase of inputs).

 

TERMS AND CONDITIONS

 

Nature of facility

Purpose of finance

Tenure

Equit/
Margin

Mark up

Demand Finance Max Limit Rs.2.5(M)

 

 

Lease Finance Max limit Rs.1.5(M)

 

 

 

 

 

 

Running finance Max limit Rs.10(M)

 

 

 

 

Guarantee Limit

Max Rs.5.0(M)

Civil Construction

 

 

 

 

Purchase of Mach/Equipment

 

 

 

 

 

 

Stocks of fertilizer, seeds, pesticides, diesel, oil and tractor parts etc

 

 

 

Issuance of L/G forCredit Purchases of stocks from parent companies.

5 Years

 

 

 

 

5 Years

 

 

 

 

 

 

1 year

Renewable

 

 

 

 

1 year

Renewable

 

25%

 

 

 

25%

 

 

 

 

 

 

20%

 

 

 

 

 

25%

Average 6 Months KIBOR+350 bps with floor of 8% p.a.

 

Average 6 Months KIBOR+350bps with floor of 8.5% p.a.

 

 

Average 6 Month KIBOR+450 bps floor of 8.00% p.a.

 

 

 

As per Bank’s Schedule of Charges.

 

S E C U R I T I E S

PRIMARY

  1. Hypothecation of stock.
  2. Leased Assets (Registration of Tractors/Vehicles in the name of Bank and Purchase receipts of other equipments/machinery in the name of Bank).

 

COLLATERAL

 

             i.      Mortgage of Site Land Building and Fixed Assets.

             ii.      Additional collateral in shape of urban property or agri land if value of site land is

           insufficientto cover the margin.

 

 

 

MARGIN ON SECURITY

  • 25% Margin on FSV of commercial/residential land/Agriland if assessed as per revenue record.
  • 40% Margin of Agri land if assessed by Surveyors.
  • The maximum amount of Finance will be allowed upto 75% of the Oast Bai Value of land (Oast Bai is verified by Revenue Officer)

 

LOAN REPAYMENT & MARK UP SERVICING MODE:

 

Demand Finance:

Principal shall be repayable in five years time through 19 equal quarterly installments. Repayment shall commence after expiry of 3 months grace period. Hence 1st installment shall be payable at the end of six months of the disbursement.

Mark-up shall be recoverable quarterly.

 

Lease Finance:

60 equal monthly installments (Principal + mark-up) starting from the following month of the date of disbursement.

 

Running Finance :

Principal shall be repayable in lump sum on demand or expiry which ever comes earlier. However, mark-up shall be recoverable quarterly.


 
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