Pilkington IV

completed

Founded in 1918, Nippon Sheet Glass Co. Ltd. (the “NSG Group” or the “Sponsor” - http://www.nsg.com/en/about-nsg) is one of the world's leading manufacturers of glass and glazing systems in three business areas: Architectural; Automotive; and Technical Glass. NSG Group acquired the leading UK-based glass manufacturer Pilkington plc in June 2006, which is now known as NSG UK Enterprises Limited (“NSG/Pilkington”, the “Company” or the “Borrower”) and is a wholly owned subsidiary involved in manufacturing of architectural and automotive glass products. The Company’s operations span across Europe, North and South America. IFC’s engagement with Pilkington started in the 1990s.  IFC financing was provided to Pilkington’s projects in Poland and Russia. The public disclosure documents for the Pilkington Russia projects can be found here: Project #11660: OOO Pilkington Glass Russia disclosed on Sep 15, 2003 https://disclosures.ifc.org/#/projectDetailERS/3256 and Project #25154: Pilkington RuII disclosed on Jun 16, 2006 -https://disclosures.ifc.org/#/projectDetailSPI/8589  The proposed project entails the investment program of NSG UK Enterprises over the next two years, and ranges from investments in manufacturing new glass models for the automotive industry to ongoing maintenance of float glass lines and investments in research and development.Specifically, the IFC loan is expected to be utilized for: (i) partial financing of the Company’s FY16-18 capex in Poland; (ii) funding research and development (R&D) expenses geared towards improving energy efficiency of the manufacturing processes so as to produce more climate friendly products which is primarily performed in UK and new products and processes are rolled out across all NSG/Pilkington operations in emerging and developed markets; and (iii) refinancing of high priced debt.