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Stone Group International Operation

Greece | Industrials

Identification Code:: OP/16/0001
Total Operation Cost:: — EUR
Maturity:: 84 months
Operation Status:: BSTDB Approved Amount – Approval Date

15.000.000 EUR – 05 Aug 2016
: BSTDB Signed Amount – Signed Date

15.000.000 EUR – 31 Oct 2016
: Status:
Completed
Description and Purpose of the Operation:: Financing of the Company's capital expenditure program.
Countries of Operation:: Greece (100,00%)
Financial Product:: Loans
Sector:: Industrials
Domain:: Private
Borrower/Client:: A long-term corporate loan to Marmor Stone Group International S.A. (Greece) in the amount of EURO 15 million to support the Company's capital expenditure program in 2016 2018 and working capital requirements.
Co-Financers/Participants:: n.a.
Guarantors/Sponsors:: n.a.
Developmental and Regional Cooperation Impact:: The Bank will provide long-term financing, the supply of which from the local financial sector and international institutions is rather limited. The Bank will support upgrading of technological base of a leading company. The Operation is estimated to contribute substantially to job creation in one of the less developed areas of Greece (Kavalari). The Borrower is expected to add 40-50 new jobs upon the completion of its capital expenditure program. The Bank will support the expansion of production capacity, upgrade of equipment base, modernization of internal systems' operations and thus advance the export potential of a Greek company.
Environmental Classification and Impact:: E&S Category B+. The associated risks and impacts are medium-high, but limited in nature, and can be addressed through relevant mitigation measures applied in marble extraction and processing sector. The Borrower's activities are generally in compliance with environmental, labor, health and safety laws and regulations in effect. The expansion of Kavalari facilities will result in creation of 25 new permanent jobs, and proximately 50 temporary jobs during the construction stage, 50% of which will be sourced locally. The applied labor and working conditions are considered appropriate for the industry, with terms and conditions of employment being above the national level. The applied pollution prevention and mitigation measures are also appropriate for the industry. The expansion program of the Kavalari facilities is not expected to result in new significant E&S risks and impacts in addition to the already existing ones. The land restoration of the depleted marble layers is undertaken according to the EIA requirements, which was confirmed during the site visit at Birros quarry. Marmor's operations do not pose any significant risks and impacts on the local communities, their health, safety and security.
Operation Leader:: General Industries, Transport, Tourism 1
E-mail:: gitt1@bstdb.org