Loan to support expansion of production range
The European Bank for Reconstruction and Development (EBRD) is providing a €20 million loan to Aluflexpack Group GmbH (AFP Group) to support the expansion of its flexible packaging product range and the further development of its aluminium-based products.
The EBRD loan will be extended to three Croatian flexible packaging producers consolidated in the AFP Group – Aluflexpack Novi d.o.o., Omial Novi d.o.o. and TOF d.o.o. – which were acquired by Montana Tech Components AG in November 2012 from Hypo Alpe Adria Bank. The new Swiss owner introduced a comprehensive modernisation programme which was partly financed by a €20 million EBRD loan in 2013.
Aluflexpack Novi d.o.o., Omial Novi d.o.o. and TOF d.o.o. are located in regions of Croatia with high unemployment and a weak industrial base. The new EBRD loan will finance new production facilities leading to increased capacity), as well as development of new innovative and technologically complex products for which there is high local and international demand.
Strengthening economic resilience in the countries where it invests is one of the EBRD’s key strategic priorities. The Bank is working towards improving the competitiveness of local businesses on domestic and international markets by supporting them with finance and through policy dialogue.
The loan agreement was signed today during EBRD First Vice President Phil Bennett’s visit to Croatia. He said: “We are pleased to continue our successful cooperation with our partner Montana with this new loan. The EBRD’s support will strengthen the ongoing growth programme of AFP Group, set standards in business conduct and allow for the introduction of new products. We believe this will benefit not only the companies but the wider region.”
Igor Arbanas, CEO of AFP Group, said: “Our successful cooperation with the EBRD has helped develop AFP Group not only financially but also organisationally. Since 2013 the highly competent EBRD team has been a greatly appreciated and constructive partner. We are very happy about the further extension of our cooperation not only because it will help us serve our customers better, grow our business and further develop our organisation but also because it is a great confirmation of the successful development of AFP Group since joining the knowledgeable, experienced and globally active Montana Tech Components Group.”
The EBRD has been active in Croatia as an investor since the country’s independence and has invested some €3.5 billion in 186 projects to date. The Bank’s activities include all sectors of the economy and are especially strong in the infrastructure, corporate, financial institutions and energy sectors.
The EBRD’s strategic plan for the countries where it invests, including Croatia, for the period 2016-18 has three priorities: strengthening economic resilience, addressing global challenges and supporting regional integration.
About AFP Group GmbH (Aluflexpack Group/AFP)
Aluflexpack Group is a 100 per cent subsidiary of Montana Tech Components AG and is part of the youngest division, Industrial Components. AFP offers highly attractive flexible packaging mainly for the confectionary, dairy, human food, pharmaceutical and pet food industry. Sound know-how, flexibility and innovation form the basis for long-term customer relationships with leading local and international brands. Aluflexpack has four production sites in Croatia, as well as production and logistics sites in France, Poland and Switzerland. www.afp.hr
About Montana Tech Components AG
As a technology and innovation-oriented industrial group, Montana Tech Components AG operates in the growth sectors of aviation, energy storage, metallurgy and industrial components. The various group companies hold a leading position in their global markets. By focusing on selected key technologies, market leadership and continuous innovation, Montana Tech Components pursues a sustainable growth strategy in its four divisions - aerospace components, energy storage, metal tech and industrial components. With approximately 4,600 employees at 59 sites throughout the world, Montana Tech Components last generated sales of €833 million. www.montanatechcomponents.com