SREI Leasing Capital Increase

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Project ID 43313

Status Cancelled

Location

Russia

Business Sector

Notice Type

Private

Project ID 43313

Status Cancelled

Location

Russia

Business Sector

Notice Type

Private

Environmental Category

Disclosure date

28 May 2012

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Project Description

The EBRD is considering a Rouble denominated equity investment and loan to ZSL, a leasing company focusing on leasing of heavy equipment in the infrastructure sector. The Rouble denominated equity and loan will support the growth in equipment leasing, primarily in the regions beyond Moscow where SMEs stand to benefit most.

Transition Impact

The proposed equity and loan investment will contribute to expanding the leasing market in Russia, which is under-penetrated, and increasing competition in a sector that is dominated by local banks or state-owned leasing companies. Scarcity of available medium to long-term funding to SMEs, particularly in the regions, represents a challenge for capital investments. The provision of Rouble funding will improve local currency leasing to SMEs in Russia.

EBRD’s involvement will ensure high standards of corporate governance and business conduct in a sector which is not regulated. Furthermore, continued dispersion of know-how from the project’s Indian Sponsor will help to disseminate relevant industry skills.

The Client

ZAO SREI Leasing (ZSL) is an existing client of the Bank, which is a leasing company incorporated in Russia with a nation-wide coverage, focusing on leasing of heavy equipment in the infrastructure sector. ZSL is majority owned by SREI Infrastructure Finance Limited, a leading non-banking financial institution incorporated in India and listed on the London Stock Exchange.

EBRD Finance

A Rouble denominated senior loan and a capital increase pro-rata to EBRD’s shareholding.

Project Cost

The senior loan of up to Rouble 300 million (EUR 7.7 million) and an the equity investment of up to Rouble 56.6 million (EUR 1.4 million).

Environmental Impact

ZSL is an existing client of the Bank and will continue to comply with the EBRD’s Performance requirements for FIs (Performance Requirement 2 and 9) and submit annual environmental and social reports to the EBRD.

Technical Cooperation

None.

Company Contact

Rostyslav Futalo, General Director

Barklay St., 6, bld. 3, Moscow-121087
Russian Federation

Tel: +7 (495) 221-01-24
Email: futalo@srei.ru

Transition impact

ETI Score:60

PSD last updated

21 Jan 2019

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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