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Kurum International - Corporate Loan IV

Albania | Materials

Identification Code:: OP/14/0039
Total Operation Cost:: 20.000.000 EUR
Maturity:: 36 months
Operation Status:: BSTDB Approved Amount – Approval Date

20.000.000 EUR – 20 Feb 2015
: BSTDB Signed Amount – Signed Date

20.000.000 EUR – 09 Apr 2015
: Status:
Active
Description and Purpose of the Operation:: Medium-term corporate loan to finance the working capital needs (mainly used in the procurement of scrap) of the company in Albania
Countries of Operation:: Albania (100,00%)
Financial Product:: Loans
Sector:: Materials
Domain:: Private
Borrower/Client:: Kurum International Sh.A., Albania
Co-Financers/Participants:: Not applicable
Guarantors/Sponsors:: Kurum Demir A.S. and Kurum Holding A.S. (Turkey)
Developmental and Regional Cooperation Impact:: BSTDB participation in the operation will help bring a positive social development impact. It will generate additional export and tax revenues, contribute to the activities of a successful company/Group in Albania, bring-in development impact and promote cooperation among member states via investments and exports.
Environmental Classification and Impact:: Screened as B+ Category. Kurum International SH.A., is an existing Client of the Bank and the environmental and social assessment of its iron and steel production business, and rehabilitation and operation of its hydropower generation facilities have been carried out under Kurum I, II and III Operations. The environmental and social performance of the Borrower, as well as the status of Environmental and Social Action Plan (ESAP) implementation is annually monitored by the Bank through annual reports and site visits at its production facilities in Elbasan, Albania. Considering the nature of the operation, which involves provision of a corporate loan and does not involve capital expenditures, the environmental and social assessment during the due diligence and appraisal stage has been limited to existing performance of Kurum Internatonal SH.A., and the status of ESAP implementation, which overall are found satisfactory.
Operation Leader:: General Industries, Transport, Tourism 2
E-mail:: gitt2@bstdb.org