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Galnaftogaz trade finance facility

Ukraine | Consumer Discretionary

Identification Code:: OP/22/0015
Total Operation Cost:: 25.000.000 EUR
Maturity:: 12 months
Operation Status:: BSTDB Approved Amount – Approval Date

25.000.000 EUR – 02 Mar 2023
: BSTDB Signed Amount – Signed Date

25.000.000 EUR – 25 Apr 2023
: Status:
Active
Description and Purpose of the Operation:: Provision of a short-term revolving trade finance working capital debt facility to the existing client, Joint Stock Company Concern Galnaftogaz (GNG, Borrower or Company) and/or GNG’s parent company, GNG Retail Limited (Parent), for the Borrower’s ongoing working capital requirements in 2023 and beyond, primarily related to the shipments of eligible petroleum goods and services to Ukraine.
Countries of Operation:: Ukraine (100,00%)
Financial Product:: Trade Finance
Sector:: Consumer Discretionary
Domain:: Private
Borrower/Client:: JSC “Concern Galnaftogaz”, a joint stock company established pursuant to the laws of Ukraine, and/or its parent, GNG Retail Limited.
Co-Financers/Participants:: N/A
Guarantors/Sponsors:: N/A
Developmental and Regional Cooperation Impact:: The Project is expected to have economic benefits for the customers in Ukraine severely affected by on-going extraordinary circumstances by facilitating their access to the light-petroleum products. The further economic benefits are resulting from potential downstream linkages with suppliers from other countries in the region, namely from Bulgaria, Greece and Romania.
Environmental Classification and Impact:: Galnaftogaz is an existing Borrower of the Bank since 2004 and its environmental and social (E&S) performance over the years has been assessed as outstanding. Under the previous operations (GNG I, II, III, IV and V) the Borrower had implemented comprehensive actions aimed at further improving its E&S management system, pollution prevention and abatement, and upgrading its fuel storage facilities. The accumulated experience over the years has always been positive. GNG proved to be well-aware of the E&S implications of its activities and was proactive in improving its E&S performance, following the lender’s E&S requirements and terms and conditions of financing, implementation of the environmental and social action plan (ESAP), monitoring and reporting, as well as achieving compliance with national norms and international good practices applicable by the petroleum products storage and distribution sector.
Operation Leader:: Energy & Infrastructure
E-mail:: ei@bstdb.org