BSR Europe Co-Investment Facility

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The proposed project is a direct investment into BSR Europe BV (“BSR”) and a Joint Venture Programme (“the Joint Venture Programme” or the “Joint Venture”) alongside BSR through the provision of equity financing up to a maximum of EUR 35 million to be used to develop retail, office, residential, mix-use or industrial projects in Romania, Bulgaria, Russia, Serbia, Ukraine, Croatia, Montenegro, Georgia and Moldova (the “Region”). The strategic input of the Bank is essential in various aspects: BSR is a fully owned subsidiary of BSR Europe Ltd. (“BSRE”), a holding company quoted on the Tel-Aviv Stock Exchange. BSRE is part of the BSR Group (the “Group”) which has over four decades of experience in international real estate development and project management. The Group promotes and develops large-scale high quality residential complexes, office and high-tech buildings, as well as commercial centres. BSR operates in Czech Republic, Slovakia, Poland, Hungary, Latvia, Romania, Bulgaria, and Cyprus. Each project will be implemented by a special purpose vehicle (an "SPC") established to carry out that project and in which the Bank and BSR will each be shareholders. The SPCs will be locally incorporated. Equity investment of up to EUR 35 million. To be confirmed. Screened C1. A corporate environmental audit will be carried out to assess the Sponsor’s environmental risk management capacities as well as environmental risks associated with the proposed sub-projects. If any significant issues related to the Sponsor’s environmental risk management practices are identified during the initial due diligence, a site visit may be proposed. The Sponsor will be required to adopt and implement the Bank's Environmental Procedures for Multi-Property Development which will require the Facility to comply, among other things, at a minimum, with the health, safety, labour and environmental regulations and standards applicable in the country where the investment is situated as well as good international practices. No other issues to raise at this stage. None. Janet Woo, Principal Banker EBRD Tel: +44 207 338 6000