Bulgaria copper Sofia Med Sustainable Expansion II

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Overview

Up to EUR 20 million senior secured loan to Bulgarian copper fabricator Sofia Med AD. The EBRD transaction is expected to benefit from support under the InvestEU Fund.

Project ID 56455

Status Approved

Location

Bulgaria

Business Sector

Notice Type

Private

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Company Contact Information

Sergey Vlaykov
info@sofiamed.com
www.sofiamed.com
4 Dimitar Peshev str., 1528 Sofia, BULGARIA

Project ID 56455

Status Approved

Location

Bulgaria

Business Sector

Notice Type

Private

Environmental Category

Approval Date

13 Jan 2026

Disclosure date

14 Jan 2026

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

Up to EUR 20 million senior secured loan to Bulgarian copper fabricator Sofia Med AD. The EBRD transaction is expected to benefit from support under the InvestEU Fund.

Project Objectives

The proceeds of the loan will be used for general corporate investment purposes in line with market standards for sustainability finance.

The EBRD transaction will feature measurable sustainability-linked KPIs aligned with circular economy objectives, focusing on the increased use of secondary raw materials and enhanced water efficiency.

Transition Impact

ETI score: 60

Green quality, as the project promotes circular economy and resource efficiency in copper fabrication through ambitious sustainability-linked KPIs. It qualifies for 100% GET share under EBRD's methodology based on Sofia Med's commitment to delivering measurable sustainable outcomes.

Client Information

SOFIA MED AD

Sofia Med AD ("Borrower" or the "Company"), a joint stock company incorporated in Bulgaria, is a copper fabricator, producing mostly rolled and extruded copper and copper alloy products with a variety of industrial, energy and other applications.

Sofia Med is part of Viohalco Group, a leading European manufacturer of non-ferrous metals, listed on Euronext Brussels and the Athens Stock Exchange.

EBRD Finance Summary

EUR 20,000,000.00

Senior secured loan with five-year tenor, semi-annual repayments and one year grace period.

Total Project Cost

EUR 43,710,000.00

Additionality

The transaction introduces an innovative green finance instrument, with loan pricing linked to the achievement of the sustainability-linked KPIs.

Environmental and Social Summary

Categorised B (2024 ESP). The client, Sofia Med AD, is a leading European non-ferrous metals manufacturer and existing client of the Bank. The project consists of a general corporate purposes loan with use of proceeds mainly targeting CAPEX investments for strategic manufacturing equipment; operational improvements to plant health & safety, environment protection and information systems; and maintenance CAPEX at an existing facility. E&S risks and impacts associated with the Project are limited and the client has to capacity to manage these in line with the Bank's E&S Requirements. Environmental and Social due diligence (ESDD) was undertaken by ESD and was composed of review of existing ESAP progress and Annual Environmental and Social Reports (AESRs) under the most recent transaction with a similar use of proceeds at the same facility. ESAP progress and AESR review found the client to be in good standing on ESP compliance. The ESAP report confirmed successful creation and maintenance of an employee and contractor internal grievance mechanism through the introduction of a whistleblowing mechanism; and BAT/BREF assessments taking into consideration the current and future characteristics of the client's installations and operations, geographical location and local ambient environmental conditions. AESR review confirmed appropriate H&S training for employees, new joiners and contractors; external audits on H&S; various H&S-related projects; establishment of a dedicated sustainability team to improve double materiality reporting and ESG KPI development and tracking; and corporate actions within the community through education initiatives, healthcare and support for vulnerable people. Remaining ESAP actions (all on track) as part of the prior project were carried over to a new ESAP for this transaction. These include confirmation of necessary permits and authorisations for the project under ESR1, ongoing implementation and tracking of a supply chain management system under ESR1 & ESR2; GHG emissions estimates and energy consumption rates based on the new upgrades and emission points under ESR3; and implementation and maintenance of an external grievance mechanism accessible to all external stakeholders under ESR10.

Green assessments

The project is determined aligned with the mitigation and adaptation goals of the Paris Agreement based on the application of the EBRD's Paris alignment approach for directly financed investments. In accordance with the joint-MDB methodology for Paris Agreement alignment, the project is deemed aligned for climate mitigation, as it falls under the category of "non-energy intensive industry". The project is aligned with the adaptation goals of the Paris Agreement as there are no materially relevant physical climate risks and does not contravene national policies for adaptation or the climate resilience of the wider system.

100 % of the EBRD financing is classified as green finance, as it supports activities to achieve climate mitigation and other environmental objectives. The attribution is made in line with the methodology to determine the green finance attribution of EBRD investments and specific guidance in the Section 3 Route 2: a client commitment to deliver green outcomes.

Technical Cooperation and Grant Financing

As part of the engagement, EBRD will provide TC support to the Company to identify, evaluate, and plan upgrades to the Wastewater Treatment Plant (WWTP) to meet future production needs and environmental targets, in line with EBRD's Green Economy Transition strategy, which prioritises investments that deliver climate and environmental benefits.

Company Contact Information

Sergey Vlaykov
info@sofiamed.com
www.sofiamed.com
4 Dimitar Peshev str., 1528 Sofia, BULGARIA

Implementation Summary

PSD Last Updated

14 Jan 2026

Understanding transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with the EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and its associated Environmental and Social Requirements (ESRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the ESRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation, and to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about the environmental and social (E&S) performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD also requires its clients to disclose information, as appropriate, about the risks and impacts of projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all of the Bank's activities in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The EBRD believes that identifying and resolving issues in the project assessment and approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts andhelps to monitor integrity risks in projects post-investment.

OCCO is further responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, either within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to compliance@ebrd.com. OCCO will follow-up all matters reported. It will review all matters reported. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP, which entered into force on 1 January 2025, sets out how the EBRD discloses information and consults with its stakeholders to promote better awareness and understanding of its strategies, policies and operations. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (for example, through the client’s project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the mechanism is: to support dialogue between project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or the project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate and how to submit a Request for review. Alternatively, contact IPAM by email at ipam@ebrd.com for guidance and more information on IPAM and how to submit a request.

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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Bulgaria copper Sofia Med Sustainable Expansion II

Overview

Project timeline

Company Contact Information

Project Description

Project Objectives

Transition Impact

Client Information

EBRD Finance Summary

Total Project Cost

Additionality

Green assessments

Technical Cooperation and Grant Financing

Company Contact Information

Implementation Summary

PSD Last Updated

Understanding transition

Business opportunities

General enquiries

Environmental and Social Policy (ESP)

Integrity and compliance

Access to Information Policy (AIP)

Independent Project Accountability Mechanism (IPAM)