Hoogwegt Group: smart refinancing for stronger growth

The relationship between Hoogwegt and Orchard Finance goes back nearly two decades. In 2007, Hoogwegt and Orchard laid the foundation for Hoogwegt’s existing borrowing base financing. CFO Herco Boer had already worked with Orchard in previous roles since 2005. In an earlier interview, Herco said: “When Orchard is on board, you know everything will be spot on.”

In late 2024, Hoogwegt and Orchard teamed up once again. As one of the world’s largest family-owned companies in dairy and plant-based ingredients, Hoogwegt revisited its long-term strategy, prompting a review of its financing structure. Together with Orchard, a process was initiated to establish a new financing arrangement aligned with the company’s continued international growth ambitions.

The catalyst: a natural moment and strategic recalibration

With only one extension option remaining, the existing financing agreement was nearing its end. At the same time, Hoogwegt was making significant strides in updating its corporate strategy, which revealed new financing needs.

Key priorities included:

• Enhancing the existing borrowing base structure with an investment facility
• Securing a committed facility with a longer maturity
• Expanding international banking coverage, especially in Southeast Asia and Australia

These combined factors made refinancing the existing facility the logical next step.

Approach: a structured process with international scope

The refinancing process was launched in December 2024 and successfully completed by the end of May 2025. Hoogwegt followed a tightly managed process in close cooperation with Orchard Finance.

The approach included:

• Developing a financing plan, translating strategy into financing needs
• Preparing a financing request and indicative term sheet, shared with existing and selected new banks with relevant international presence
• Negotiating and selecting participating banks based on proposal quality, pricing, commitment, and strategic alignment

Orchard provided both technical expertise and process oversight. As a strategic advisor, Orchard helped design the optimal structure and terms, while also managing progress, coordination with banks and legal advisors, and consistency in documentation. This enabled Hoogwegt to maintain a strong grip on both the substance and the process.

Result: a flexible, future-proof financing framework

By summer 2025, the new financing agreement was successfully finalized. It gives Hoogwegt greater working capital flexibility under attractive terms and more room for strategic investment.

Deliverables included:

• Introduction of an investment facility tailored to supply chain partnerships
• Extension flexibility via an evergreen structure
• A carefully composed syndicate of seven banks
• Swift execution thanks to a clear structure and process management

Martijn Bos, Group Treasurer at Hoogwegt:
“We wanted to expand our banking group. In such cases, it’s crucial to quickly engage an advisor who knows the current dynamics of the European financing market, understands market appetite, and can identify banks that fit a trading house like ours. Orchard brings that expertise and experience. They’re also extremely sharp and knowledgeable.”

A partnership built on trust

For Hoogwegt, Orchard once again felt like an extension of the internal team. “Orchard is always available, challenges us constructively, and brings clarity and calm, even when things get complex,” says Herco.

Rolf Michon, Managing Partner Debt Advisory at Orchard, adds:
“We know each other well, which makes for short lines and smooth collaboration. Hoogwegt is a company that focuses on both substance and relationships: the perfect combination for us. Their preparation was also extremely solid, which enabled us to move quickly and keep momentum high.”

Herco looks back on the process with satisfaction: “We approached this with dedication, energy, and passion. OTIFAS – on time, in full, according to spec – with sharp attention to detail and a strong eye for the long-term relationship. That’s something we can be proud of.”