Bekto Precisa

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Bekto Precisa d.o.o. Gorazde (Bekto or the Company) is a manufacturer in Bosnia-Herzegovina (BiH) and a leading company in Southern Europe in the production of highly sophisticated high precision tools for non-ferrous metals (moulds as well as molded parts) and plastics, in addition to a combination of metal and plastic. The Company has sound technical knowledge, up-to-date technology and the production is export oriented. Bekto supplies three industries including that related to automotives (40% of sales), electrical (35% of sales) and skiing (5% of sales). The Company has approached IFC for a long-term corporate loan of up to €8 million to; (i) fund its capital expenditure program during 2013-2014; and (ii) refinance and restructure existing debt (the Project). The investment will expand the Company’s tool size offering (from 1.2 by 2.5 meters to 1.5 by 2.5 meters) to produce heavier plastic parts (up to 10 kg, versus the current 2 kg limit). This will strengthen the Company’s competitiveness by enabling it to accept multi-tool and larger tool orders, as well as fully meet demand for heavier and more complex plastic parts. In addition to IFC’s loan, the Company has executed a Corporate Governance (CG) Advisory Assignment with IFC to assess and improve corporate governance practices. Bekto’s production complex, including office buildings, manufacturing facilities and storage capacities span across an area of more than 50,000m2 in Gorazde, a town on the banks of the Drina River in the eastern part of BiH. The complex is located in Gorazde’s industrial zone, adjacent to Emka, the Company’s largest customer.The Company’s manufacturing facilities include four single-floor tool shops, as well as a three storey injection molding and assembly building. In addition to the existing facilities, the Company has prepared ground for construction of an additional production building on the existing site, targeted to be used as a tool shop and injection molding facility.There are more than 90 machines used in the tool shop including CNC (Computer Numerical Control) milling machines, computer controlled vertical mills and erosion machines for a higher precision. The Company can currently produce tools weighting up to 20 tons and reaching up to 1.2 m by 2.5 m in size., and plastic parts being limited with 2 kg in weight. The primary raw material used for production of parts is steel.In injection molding department there are more than 40 injection molding machines utilizing Polycarbonate/Acrylonitrile Butadiene Styrene (PC/ABS), Acrylonitrile Butadiene Styrene (ABS), polyethylene, Polybutylene terephthalate (PBT), Thermoplastic Rubber (TPR), Polyoxymethylene (POM), Polymethly methacrylate (PMMA), Polycarbonate (PC) etc., as raw materials. Relying on its high quality and precision tools, the Company is able to manufacture complex plastic parts.The Company also has a manual assembly line including basic, non-complex assembly of plastic and non-plastic components.