EBRD Continues Support to Noble Group in Ukraine
OREANDA-NEWS. July 16, 2010. The EBRD is providing a USD24 million loan to Noble Resources Ukraine LLC, a wholly-owned subsidiary of Noble Group Limited – a leading global supply chain manager operating in agricultural and other commodities and listed on the Singapore Stock Exchange. The financing is a continuation of the Bank’s support for the Noble Group’s strategy to develop and strengthen its operations in the Black Sea region, reported the press-centre of EBRD.
The EBRD financing will be provided in the form of a long-term loan to be used by Noble Resources Ukraine LLC for investments in grain infrastructure and processing facilities in Ukraine. Noble Resources Ukraine LLC, in particular, is focused on sourcing and storage of commodities, such as grains and oilseeds, and their further export mostly to Europe. The company is planning to work with third-party silo operators to encourage improvements at their facilities and operations in order to bring them in line with best international practices.
The loan will complement the USD50 million revolving working capital facility, which the Bank provided to Noble Resources Ukraine LLC in October 2009. It also forms part of a larger financing package for Noble Group approved by the EBRD Board of Directors in May 2009 and which includes a USD30 million syndicated working capital facility to a Turkish subsidiary of Noble Group, Noble Hammade Ticaret A.S, signed in March 2010.
Gilles Mettetal, EBRD Director for Agribusiness, said: “The project promotes further efficiency improvements in the grain infrastructure sector and fully fits into the Bank’s agribusiness strategy for Ukraine. We are pleased to work with a committed long-term sponsor willing to invest in the agricultural sector, which is very important for the revival of the Ukrainian economy”.
In the agribusiness sector alone, the EBRD has directly committed more than EUR5.5 billion in over 380 projects across central and eastern Europe and the Commonwealth of Independent States since 1991.
The European Bank for Reconstruction and Development is the largest financial investor in Ukraine. As of 1 May 2010, it had committed over EUR5.0 billion through 197 projects.
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