NADBank provides MX$400-million loan to Engen Capital to boost acquisition of energy-efficient industrial and transportation equipment along the U.S. Mexico border

Mexico City – The North American Development Bank (NADBank) and Engen Capital signed a loan agreement for $400 million pesos (~ US$23.2 million) to finance the acquisition of assets supporting the development of environmental infrastructure projects—ranging from initiatives to improve energy efficiency in industrial equipment and freight and passenger transportation to solutions for expanding wastewater treatment capacity that address a critical need of border communities in the U.S.-Mexico region.

The financing was executed through an agreement signed by NADBank, Engen Capital and the trustee of the trust. The proceeds are being provided through an existing MXN$4.15-billion (~US$240.5 million) syndicated loan with other banks and placed in a trust for use by Engen and its subsidiaries as the originators of eligible assets.

This financing forms part of NADBank’s commitment to promote solutions that reduce pollutant emissions, strengthen logistical competitiveness and generate long-term environmental and economic benefits for border communities.

The transaction is aligned with the NADBank environmentally efficient asset framework and the Sustainability Finance Taxonomy of Mexico, ensuring that funds are used exclusively for initiatives with positive and measurable environmental impacts.

“This credit line with NADBank enables us to build on what we are already doing—delivering the assets companies across the region need to become more competitive, efficient and sustainable,” said Juan Pablo Loperena, CEO of Engen Capital. “The $400 million pesos are the starting point of a journey that has only just begun.”

“The alliance with Engen enables NADBank to deploy capital efficiently through a partner with expertise in the origination and structuring of industrial and transportation assets,” stated Carlos Carranza, NADBank Director of Infrastructure Finance and Financial Services “This framework expands the reach of our financing in the northern border region of Mexico and ensures that the funding translates into investments aligned with our environmental objectives.”

The financing structure promotes responsible resource management while also integrating monitoring and reporting mechanisms to ensure the proper use of funds and compliance with established environmental objectives.

Through this transaction, NADBank continues to support initiatives to strengthen environmental infrastructure in the border region and, in particular, private investments in more efficient and sustainable infrastructure and equipment.