Honeywell Multi Project Facility

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A multi-project facility of up to US$ 25 million in favour of Honeywell Inc. to establish, acquire or expand and operate energy service companies (ESCOs) in the EBRD's countries of operations. The main project objective is to support the development of Honeywell's ESCO investment programme, which will enable clients in the public and private sectors to use ESCOs to realise energy savings which they may have difficulty financing from their own resources. The project is expected to: (i) develop the energy service sector in the EBRD's countries of operations; (ii) increase the availability of resources to public and private sector entities which are unable to raise significant debt themselves; and (iii) reduce the energy requirements for the countries in which investments are made. Honeywell Inc. is a multinational company which manufactures and markets building control systems, industrial process control systems and space and aviation systems. Honeywell is the global market leader on energy control systems for buildings and industrial processes. In 1995 it posted a net income of ECU 267 million on sales of ECU 5,385 million. Forty per cent of Honeywell's sales are within energy control systems. Four-year multi-project financing in the form of an equity facility of up to US$ 25 million for investments in Energy Service Companies (ESCOs). Honeywell's investment programme indicates a total investment requirement of US$ 150 million (ECU 120 million equivalent). C/0: The project does not require an environmental analysis or an environmental audit. Honeywell is required to conduct environmental due diligence on all ESCOs financed through this facility in a manner satisfactory to the Bank. An annual environmental report will be submitted to the EBRD on the investee companies encompassed by the facility. None.