Lebanese Leasing Company

completed

SUMMARY OF PROJECT INFORMATION (SPI)Country/Project Name Lebanese Republic-Lebanese Leasing Company SALRegion Central Asia, Middle East and North AfricaSector FinanceProject No. 004779Projected Board Date May 25, 1995Company Name Lebanese Leasing CompanyTechnical Partner and/or Major Shareholders Technical Partner - Ucabail (25%), the holding company of Crédit Agricole''s (France) leasing activities Local Sponsor - Fransabank SAL (45%)Project Cost including proposed IFC investment US$27.5 million of which IFC''s equity investment is about US$750,000 equivalent and loan is US$7.5 millionLocation of project and Description of site Beirut, Lebanese RepublicDescription of Company and Purpose of Project The project involves the establishment of the first leasing company in Lebanon, addressing a fundamental need for medium to long-term financing through the provision of lease finance mainly to the productive sectors of the economy. The project is being sponsored by Fransabank SAL (Fransabank), a leading Lebanese bank, in collaboration with UCABAIL, the leasing arm of Crédit Agricole of France. The shareholding structure is expected to be as follows: Fransabank 45%, Ucabail 25%, IFC 15%, and a group of investors 15%. With an estimated initial equity capitalization of US$5 million equivalent, IFC''s equity investment would be US$750,000 equivalent. An important economic benefit of the project is its impact on employment: an estimated 4,000 jobs would be created by the leasing company.Environmental Categories and Issues This is a Financial Intermediary (FI) category project. For relevant operations, LLC will be required to implement an environmental risk management system to ensure that the operations of lessee companies comply with Government of Lebanon environmental, health and safety requirements as well as World Bank policies. Date SPI sent to PIC May 10, 1995For additional Information contact: Corporate Relations Unit - telephone (202) 473-7711 - facsimile: (202) 676-0365....\lebleas\leasspi.not