The facility will replace the syndicated loan of $125 million signed in 2012, which expired in June.
The new facility will consist of an A loan of up to $30 million for the EBRD’s own account and a B loan of up to $100 million, which will be syndicated to commercial banks. Several banks, including ING and ABN Amro, have already committed their participation, which demonstrates growing confidence of international financiers in Ukraine’s agribusiness.
The transaction will help the bank’s long-standing client Nibulon address working capital needs associated with crop origination, primary processing, transport and storage in the current environment of reduced availability of external funding in Ukraine.
The EBRD is the largest financial investor in Ukraine. As of the end of July, the bank had committed $12.3 billion through 329 projects in the country.