Alutech III

completed

The proposed investment is with the Alutech group of companies (“the company”, “Alutech” or “the Group”), the sole producer of roller shutters accessories, sectional doors and aluminum extruded products in Belarus, and an existing IFC client. Alutech was founded in 1996 and operates three manufacturing enterprises (Alutech Incorporated, AluminTechno and Alutech Doors Systems) in Minsk, Belarus, one in Novosibirsk, Russia, one in Neunkirchen, Germany and one in Kyiv, Ukraine as well as over 23 trading companies and local warehouses in Belarus, Ukraine, Russia, Germany, Austria and Czech Republic (jointly referred as the Group).The project is to refinance short-term bridge loans acquired for capital investments during 2013-2014 (the “project”) to expand and modernize existing lines on Alutech’s main production site near Minsk, within a long-established industrial zone, “Shabany”. This includes relocation of sectional doors production to the new facility in 2014 (former Alstrong and Alutech Industrial Doors Systems) and expansion of extruded products manufacturing (Alumin Techno) by construction of a new anodizing shop (completed in 2013) and new foundry shop (ongoing). The IFC investment package is expected to include an A loan of up to €15 million. This is a repeat investment in Alutech in that IFC has two existing investment (Project ID # 28684 and #31500), which were disclosed on May,26 2010 and March,20 2012 respectively and are available on IFC’s web site. The existing investments have been regularly supervised by IFC and environmental and social performance (E&S) of the company is considered satisfactory. A description of Alutech’s activities is provided in the Environmental and Social Review Summary documents as disclosed for the previous investments.