Project description
and objectives:
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The proposed project envisages a syndicated A/B loan to Center-Invest Bank in
the total amount of RUB 1 billion with maturity of up to 7 years. RUB 500
million A-Loan will be retained by the EBRD and RUB500 million B-Loan will be
syndicated to another financial institutions.
The loan will be used for financing of residential mortgages to individuals,
energy efficiency and other projects of local companies and small and
medium-sized enterprises in the South of Russia, and will support the bank’s
growth strategy through improved funding base.
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Transition impact:
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The loan will support the development of the mortgage market in Russia and
improved access of individuals to housing finance in the South of Russia,
promote best mortgage lending standards. The loan will also assist in
launching a new EBRD product in Russia – lending for energy efficiency
projects, and increase access to mid-term financing for SMEs, corporates and
retail customers.
The Client will benefit from diversification and stability of funding,
lengthening of maturities and rouble financing. This will increase the bank’s
capacity to grow their lending to small and medium-sized companies and retail
customers and further strengthen its balance sheet.
The Project will overall enhance Center-Invest’s competitiveness in the region
and promote greater access to financial services by businesses and individuals
in the South of Russia.
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The client:
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Center-Invest Bank is a leading regional universal commercial bank based in
Rostov-on-Don catering to small and medium-sized businesses and individuals
through a wide branch network in the South of Russia.
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EBRD finance:
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Senior term loan of RUB500 million (EUR16 million) (A-Loan).
B-Loan of RUB500 million (EUR16 million) to be co-financed by a financial
institution.
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Total project cost:
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RUB 1billion (EUR32 million).
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Environmental impact:
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Center-Invest will be required to apply EBRD’s Environmental Procedures for
Local Banks to all commercial lending activities including sub-loans financed
out of the proceeds of the loan, adhere to the Environmental Procedures for
Residential Mortgage Lending to mortgage sub-loans financed out of proceeds of
the loan and to submit annual environmental reports to the Bank.
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Technical
cooperation:
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Center-Invest has finalised working with ING Bank as consultants within the
framework of Russian Regional Bank Credit Strengthening and Institutional
Building Program funded through EU IPF Program.
For consultant opportunities for projects financed by technical cooperation
funds, visit procurement of consultants.
For consultant opportunities for projects financed by technical cooperation
funds, visit procurement
of consultants.
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Company contact:
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Mr. Grigory Chorayan, Member of the Management Board
Bank Center-Invest
62,
prospect Sokolova,
Rostov-on-Don, Russia, 344010;
Tel. + 7 8632 675 833
Fax +7 8632 640 640
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EBRD contact:
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Yelena Tonna, Operation Leader: tonnay@ebrd.com
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Business opportunities:
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For business opportunities or procurement, contact the client company.
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General enquiries:
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EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168; Fax: +44 20 7338 7380
Email: projectenquiries@ebrd.com
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