OREANDA-NEWS. November 26, 2013. The EBRD acquired a five percent equity stake in Borets International Limited, an existing client and Russia’s leading manufacturer of pumps used to lift oil artificially from oil wells. The EBRD paid USD 30 million for its stake.

The Bank last September invested USD 80 million in a five-year USD 420 million bond issued by Borets. The Company used part of the proceeds of this bond to repay its lenders, including the EBRD.

The EBRD’s initial financing for Borets was a USD 150 million loan raised in 2009.

The new financing being provided by the Bank will fund the Company’s capital expenditure plans in Russia, which include the construction of a casting plant at Stary Oskol.

The Bank’s equity investment will give the EBRD the right to nominate an independent non-executive member of the board of Borets International Limited. This director’s mission will be to focus on strengthening the company’s corporate governance.