EBRD-Italy Western Balkans Local Enterprise Facility

cancelled

The proposed project provides the Bank with an instrument to meet the growing business of local enterprises, currently not sufficiently supported by other financing sources. The Bank’s proceeds will be used by clients for the financing of acquisitions, expansion and/or modernization investments and working capital. The facility will consist of a EUR 20 million contribution from the EBRD. An additional EUR 10 million to the Facility will be provided by the Italian Government. The proceeds will be used to provide equity, quasi-equity and debt financing to local enterprises in the Western Balkans. The size of the individual Investments will be in the range of EUR 1 million to EUR 4 million. The Facility would introduce a new product specifically designed to address the needs of local private enterprise sector in Western Balkans. Transition impact is expected in the following key areas: • Competition and market expansion • Restructuring of the local enterprises, and • Setting standards of corporate governance and business conduct. Local private enterprises legally incorporated in Albania, Bosnia & Herzegovina, FYR Macedonia and Serbia & Montenegro. EUR 20 million co-financed by EUR 10 million provided by Italian Government to provide equity, quasi-equity and debt financing. EUR 30 million. Sub-projects financed through this Facility will be appraised on a case-by-case basis. Independent environmental studies will be carried out when necessary, with assistance from external consultants, to fully understand all environment-related liabilities and environmental risks associated with a company’s operations, and to develop and agree an environmental action plan as required. Clients will be required to comply with national and EU standards for environment, health and safety and provide the Bank with an annual environmental report on environmental, health and safety issues. The Italian Government will provide an additional amount of EUR 2,000,000 to be used to provide advisory services and other technical cooperation in respect of investment screening activities which may generate, directly or indirectly, investments for financing under the Western Balkans Facility, investment due diligence, post-investment advisory and monitoring activities and such other activities as the Bank and the donor may agree.