- €3.1 million from Piraeus Bank complemented by EBRD Risk Sharing Facility
- Loan to improve Tatrafan’s competitiveness
- Financing to boost production capacity, cover working-capital needs
(PRESS RELEASE) LONDON, 15-Nov-2021 — /EuropaWire/ — The European Bank for Reconstruction and Development (EBRD), a multilateral developmental investment bank, has announced that it will back Piraeus Bank Ukraine‘s EUR 3.1 million loan to the Ukrainian producer of flexible packaging Tatrafan under its Risk Sharing Facility (RSF).
PBU is providing a €3.1 million loan, while the EBRD takes half of the risk on its books under the EBRD Risk Sharing Facility (RSF). Tatrafan will use the financing to increase its production capacity as well as to cover working-capital and capital-expenditure needs.
Tatrafan, located in the western Ukrainian city of Lutsk, manufactures flexible wrapping films, which are used to produce packaging for food and for fast-moving consumer goods. Tatrafan is part of a broader group of companies active in the production of plastic packaging in Bulgaria, Finland and the Slovak Republic.
Piraeus Bank Ukraine, a wholly owned subsidiary of the Piraeus Group of Greece, is a commercial bank serving corporate, small business and retail clients. In early 2020, the EBRD arranged a financing package for PBU, which included a local currency loan of up to US$ 5 million equivalent for on-lending to small businesses and €10 million in funding under the RSF.
The EBRD is a leading institutional investor in Ukraine. To date, the Bank has invested more €15.5 billion in 507 projects across the country, with a focus on assisting economic stabilisation, anchoring reforms, strengthening energy efficiency and energy security, and supporting agricultural and industrial projects as well as smaller businesses.
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