Uniao Quimica

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UniãoQuímicaFarmacêutica Nacional S.A. (“UQ” or the “Company”) is among the 10th largest national pharmaceutical companies in Brazil, with more than 85 years of history. Headquartered in Sao Paulo, the Company has eight manufacturing facilities in Brazil and more than 7650 employees. UQ is focused on human health (65% of sales, mostly to the private sector), animal health (19% of sales) and 16% of sales are related to contract manufacturing, selling to top international brands.The company's industrial capacity is composed of eight plants, including the following facilities:(i) Brasília (DF) and Pouso Alegre (MG) plants have their production directed to the Human Health Division, (ii) Embu Guaçu (SP) unit is dedicated to medicinal products for the Animal Health Division, and, (iii) the Anovis unit in Taboão da Serra (SP) and Inovat, at Guarulhos (SP), are dedicated to the outsourcing of drugs production for the pharmaceutical industry in the solid and liquid forms. The Bthek plant is intended for biotechnology. Also, the company has a graphic plant that produces cartridges, package inserts, adhesive labels, as well as working with promotional materials for the pharmaceutical industry. This facility includes a logistic center for distribution of products.    The proposed investment consists of an 8-year secured A Loan of BRL 340 million (US$65 million) in UQ. From this, BRL 100 million will be used to upgrade two of their existing plants to be able to produce vaccines (both for COVID-19 and other uses as well). BRL 235 million will be used to increase manufacturing capacity for certain products such as antibiotics, corticoids, and anti-inflammatory, anaesthetics, among others, serving the hospital segment. The remaining portion of the IFC loan will be used to finance working capital needs. Due to COVID-19, there was a spike in demand from hospitals and UQ needs to increase the capacity in 2 of their existing plants to properly serve its clients. A big portion of these investments would be related to COVID-19 related drugs. There will not be any new construction outside the plants (no new footprint), all investments would be within the existing plants.