Mauritius’ foremost sugar producing company, Omnicane has announced its readiness to offer for sale bonds valued at 500 million rupees ($16 million) at the stock exchange.

In a statement issued on Friday, the company described the decision as a vital step towards achieving its plan to generate needed funds for growth.

Part of the fund raised will be spent on refinancing current borrowings and prepare the company to raise more via multi-currency medium-term bonds.

It further stated that the bonds on offer in the first tranche are to be secured fixed-rate notes and would have tenure of five years. Furthermore, the cost for the tranches would be determined separately through auction.

The tranches would finance Omnicane’s growth in Mauritius and on the continent as a whole, with special preference to sugar and renewable energy businesses.

To ensure the success of the bond sales, Omnicane has appointed Standard Bank Mauritius as mandated lead arranger.