Agrokor

complete

A €170 million syndicated loan to the largest Croatian food company, Agrokor d.d., with strong ice cream, edible oil, mineral water and retail operations, for restructuring its balance sheet and investment in Bosnia and Herzegovina. The proceeds from the loan will be used to finance: This project is expected to have a significant transition impact, which is likely to derive from: Agrokor d.d. is the largest Croatian food company and one of the largest Croatian companies. It is a vertically integrated producer and distributor of food products and was built to its present form through a succession of acquisitions, mainly from 1991 and 1994 following its privatisation programme. The EBRD is providing a senior secured loan of €70 million, with €90 million from syndication banks and an additional €10 million to be syndicated in the future for follow-on projects. €170 million. The project is rated C/1. The environmental due diligence conducted by the Bank's environmental specialists revealed no significant environmental problems associated with Agrokor's operations, and demonstrated the company's commitment to environmental issues. For example, the company has initiated waste management programmes in its retail operation and its mineral water production, with the latter bearing the green cube insignia awarded to Croatian companies actively engaged in mitigating the impact of waste and harmful substances on the environment. The company additionally has introduced an HACCP system (Hazard Analysis of Critical Control Points) at Ledo and Zvijezda for all consumer products. The application and control of this internationally recognised system enables preventive control in food production and ensures compliance with health protection standards. Agrokor will operate its facilities in accordance with national and EU environment, health and safety standards, and has agreed with the Bank on an Environmental Action Plan to support the company's efforts to obtain ISO certification for production quality and environmental management at its facilities. None.