SOURCE: Export Development Canada

Export Development Canada

December 11, 2014 12:41 ET

Navistar's Mexican Finance Company Receives USD 50 Million in Financing From Export Development Canada

MEXICO CITY, MEXICO--(Marketwired - December 11, 2014) - Export Development Canada (EDC) today announced a USD 50 million financing deal with Navistar Financial Mexico (NFCx), the financial arm of Navistar Mexico, S. de R.L. de C.V. (Navimex), a wholly owned subsidiary of Navistar International Corporation (Navistar) in Mexico.

Navimex is a leading manufacturer of commercial trucks and buses sold in Latin America, Canada, and the U.S., with one of its principal manufacturing facilities located in Monterrey, Mexico.

"This financing provides Navimex with ongoing flexibility to help us support the purchase of components produced by Canadian suppliers that are used in the manufacturing of International® trucks and buses in Mexico," said Jose Alfredo Chacon Perez, Executive President, Navistar Financial Mexico.

NFCx provides financing programs and services tailored to support Navistar's dealer and customer equipment financing needs in Mexico and Latin America.

The financing will be used by NFCx to provide loans and leases to Mexican buyers of Navimex's trucks and buses, which are mainly small-to-medium-sized enterprises (SMEs). NFCx plays a key role in supporting these SMEs as it is generally difficult for them to get financing from local banks.

"EDC works very hard for our Mexican customers, but being a reliable financier is only part of what we have to offer," said Teresa Nizzola, EDC's Chief Representative in Mexico. "We also want to connect companies like Navistar with the deep pool of talent that exists in Canada, especially within the automotive sector, to help them grow their business and cut costs."

EDC worked with Navistar to identify gaps and shortcomings in their supply-chain, and suggested leading-edge Canadian companies that could fill those gaps and help them grow. As part of the matchmaking process, EDC vets the companies to ensure they meet Navistar's quality standards.

"As proven by Navistar's growing business with Canada over the last 13 years, the quality is there, it is only a matter of plugging in," added Nizzola.

Mexican companies, as well as Canadian companies already doing business in Mexico, can contact EDC at its permanent representations in Mexico City and Monterrey.

Mexico is a strategic market for Canada, as outlined in the Government's Global Market Action Plan, and is also a market of corporate priority for EDC. As such, EDC is looking to grow its business as well as the amount of financing that it offers to Mexican companies, whether that financing is for general corporate purposes or project finance purposes.

About EDC

EDC is Canada's trade finance agency, providing financial services for companies that buy from Canadian companies, or those that have Canadian supply and services in their corporate value chains. EDC's financing can be used for capex and/or project finance requirements, either through bilateral or syndicated corporate facilities. Operating on commercial principles, EDC has a partnership-preferred philosophy to collaborate with private-sector financial institutions to share risk and create greater capacity for Canadian trade transactions. EDC is committed to Corporate Social Responsibility, and it takes into account the environmental and social impacts of its transactions.

Contact Information

  • Media contacts:

    Phil Taylor
    Export Development Canada
    (613) 598-2904
    ptaylor@edc.ca