Project description
and objectives:
|
The proposed project involves financing of the completion of Hermitage Grand
Hotel (the Project), a five-star development in Golden Sands on the Bulgarian
Black Sea coast, fully owned by Sigma Capital Hospitality, Leisure and Tourism
Holding Company S.A (“the Sponsor”). The aim is to support the Sponsor achieve
its goal of becoming the largest player in the hotels/hospitality market on
the Bulgarian Black See coast.
|
Transition impact:
|
The main transition impact of the proposed project will derive from provision
of modern international standard hotel infrastructure and increased
competition.
The proposed project will
-
address one of the key transition challenges in the sector by significantly
contributing to fulfilling the long-term unmet demand for international
standard tourism hotels on the Bulgarian Black Sea coast.
-
facilitate further competition in the Bulgarian leisure hotel market, which
suffers from the lack of supply of the quality hotel accommodation
Additional transition impact may derive from backward and forward linkages to
local support businesses catering to the needs of the hotel, improved
transparency and corporate governance, and transfer of management skills,
which will bring extensive training to the local workforce and improve general
service level in Bulgaria. The proposed project is also expected to promote
economic growth in the area.
|
The client:
|
Sunny Travel Ltd. (the Borrower) – a special purpose company set up to
develop, construct and operate the Hermitage Grand Hotel near Varna. Sunny
Travel Ltd. is a fully-owned Bulgarian subsidiary of the Sponsor, with the
main activity of investing in hotels/hospitality assets on the Bulgarian Black
See Coast.
|
EBRD finance:
|
Senior loan of €20.0 million comprising an A-loan of €10.0 million and a
B-loan of €10.0 million.
|
Total project cost:
|
€30 million.
|
Environmental impact:
|
Screened B1.
Environmental issues which will need to be addressed include site specific
issues (soil and groundwater contamination, natural hazards, disturbance to
natural habitats and species as well as the landscape); permitting and public
consultation issues; environmental and worker health and safety issues during
the construction; safety of construction materials; and environmental, health
and safety issues during the operation of the hotel (traffic impacts, waste
water and solid waste management and recycling, hygiene and food safety, and
life and fire safety issues).
The Company will be required to comply with applicable domestic and EU
environmental, health and safety standards. They will be required to submit a
report on environmental, health and safety issues to the EBRD annually.
|
Technical
cooperation:
|
None.
For consultant opportunities for projects financed by technical cooperation
funds, visit procurement
of consultants.
|
Company contact:
|
Vesselin Danev, Director
George Veltchev, Director
Sigma Capital Investments S.A.,
Representative Office in Bulgaria:
13 Slavianska Street,
1000 Sofia
Bulgaria
Tel: +359 2 915 59 60
Fax: +359 2 915 59 70
Email: george@sigma-equity.com, management@sigma-equity.com
|
EBRD contact:
|
Sergei Gutnik, Operation Leader: gutniks@ebrd.com
|
Business opportunities:
|
For business opportunities or procurement, contact the client company.
|
General enquiries:
|
EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168; Fax: +44 20 7338 7380
Email: projectenquiries@ebrd.com
|
