Project name: Azer-Yod II
Country: Azerbaijan
Business sector: General manufacturing
Public/Private: Private
Environmental category: B
Board date: 16 December 2008
Status: Passed concept review, Pending final review
Date PSD updated: 10 November 2008
Project description
and objectives: The EBRD is considering providing a long-term loan to Azer-Yod LLC which owns and operates an iodine production plant in Hasanabad, Neftchala district, Azerbaijan. The proceeds of the loan will be used to purchase and install a new production line, revamp the infrastructure and acquire additional equipment in line with the Company’s strategy to increase its design capacity and output. The iodine produced is mainly exported.
Transition impact: The project will foster private sector development and economic diversification in the regions of Azerbaijan. In addition, the contemplated environmental improvements will enable the Company to achieve compliance with EU standards. The transition impact will stem from the demonstration effect of a successful restructuring of the Company and setting higher standards for corporate governance and business conduct.
The client: Azer-Yod LLC, a limited liability company incorporated and existing under the laws of the Republic of Azerbaijan (the ‘Company’). The Company is the only iodine producer in Azerbaijan.
EBRD finance: Up to USD 15.0 million senior loan
Total project cost: Approximately USD 17.0 million
|
