Continuous sustainable improvement
Services included: Sustainability, Trading
Geographies: Thailand, Brazil, Middle East and North Africa (MENA)
Impact: Over 150,000 metric tonnes of sustainable sugar traded
The challenge:
One of our clients – a sugar refinery – did not achieve VIVE Claim Level in its first VIVE Sustainable Supply Programme assessment because of outdated technology being used on their boiler system. They were unable to provide the necessary emissions data to ensure they weren’t exceeding limits.
The solution:
- It was highlighted in the VIVE assessment that our client completed that improvements were needed in order to achieve VIVE Claim Level.
- The refinery was able to install an Flue-gas desulfurization system to their boilers to ensure that sulphur dioxide emissions were managed correctly and within permissible limits. This meant they were able to achieve VIVE Claim Level in the their next assessment.
- In addition, they reported that 13.4% of their energy consumption had either been saved as a result, or generated from renewable sources since their participation in VIVE
- The refinery’s achievement of VIVE Claim Level enabled them to meet the sustainability requirements of a major multinational beverage company, resulting in them supplying over 150,000 metric tonnes of sustainable sugar over a two-year period.
Looking ahead:
- We encouraged the refinery to improve sustainability across additional areas including waste disposal, water reduction and further emissions reductions.
Pioneering Corporate Finance in Southeast Asia
“CZ Advise was pivotal in helping KTM complete this transaction. Through the team’s deep understanding of the local Indonesian sugar market and CZ’s long-standing wider relationships with P.T Kebun Tebu Mas (KTM) and Mitr Phol Group, both parties were able to reach an agreement that met the strategic goals of both groups.” Susianti Ateng, Executive Officer of P.T Kebun Tebu Mas (KTM)“
Services included: Corporate Finance
Geographies: Indonesia, Thailand
The challenge:
P.T Kebun Tebu Mas (KTM), a sugar producer in Indonesia, wanted to divest a portion of its assets (a mill and a refinery) to raise capital to support its business expansion. KTM approached CZ to assist in valuing the asset and to connect them with potential investors.
The solution:
- CZ supported KTM throughout the whole process, from valuation to investor engagement, arranging legal support and drafting contracts and drawing on its deep local market knowledge.
- Tapping into its wider network, CZ was able to connect successfully KTM with Mitr Phol, one of the largest sugar producers in the world.
- Through its connections and corporate finance experience, CZ was able to create value for both deal participants by advising KTM on their sale and supporting Mitr Phol with its expansion into Indonesia.
Looking ahead:
- CZ’s role in this transaction has given a longer-term boost to the Indonesia’s sugar market.
- CZ sees a wealth of opportunities in Indonesia, and aims to set up an office in Jakarta in late 2023.