|
EBRD to invest in Bulgarian ice-cream company
The Bulgarian dairy industry takes a step towards privatisation and integration with an investment from the European Bank for Reconstruction and Development (EBRD). The Bank today signed an equity investment of US$ 3.4 million (ECU 3 million) in an ice-cream production joint venture sponsored by Delta Dairy SA, a leading Greek food company.
Ron Freeman, First Vice President of the EBRD, said: "The dairy industry is a key sector for Bulgaria. This investment will bring better quality ice-cream to Bulgarian consumers and provide Bulgarian milk producers with a reliable market for their product."
The equity investment is made to Delvi-P, a Bulgarian-incorporated joint-venture company established with Delta, Vitalact (a major Bulgarian state-owned dairy factory) and Lb Bulgaricum (a Bulgarian dairy trading company). The proceeds of the EBRD investment will be used to expand Delvi-P's existing ice-cream production capability and install new production lines.
This project responds to the Bulgarian government's desire to raise the visibility of the dairy sector and promote foreign investment. It is the first of two joint ventures that the EBRD intends to sign with Delta in order to create an integrated production, distribution and warehousing network for high quality ice-cream in Bulgaria.
|
