Dalkia Baltica/Russia Equity Financing



Project number:


Business sector:

Municipal and environmental infrastructure

Notice type:


Environmental category:


Approval date:

07 Dec 2010



PSD disclosed:

06 Oct 2010

Project Description

The EBRD is considering an equity investment in newly issued shares in the capital of a regional holding vehicle being created by Dalkia International SA to hold Dalkia’s operations in Estonia, Latvia, Lithuania and Russia, representing a minority interest along with IFC. The proceeds from subscription will be used by the Company to continue its expansion plans in the Baltic States and Russia.

Transition Impact

The project supports the consolidation of the leading market position of Dalkia in the Baltic states, including by further expanding the use of renewable technologies (biomass boilers and CHPs). The project may support expansion in markets where Dalkia has a relatively modest market share - Latvia and Russia.

The Client

The holding company being formed will be wholly-owned subsidiary of Dalkia International SA (the Sponsor), a subsidiary of Veolia Environnment and a leading provider of energy services for public authorities and industrial companies. The Dalkia group serves more than 5.8 million households in 42 countries and operates over 118,000 facilities in addition to 819 urban and local heating and cooling systems.

EBRD Finance

Up to EUR 100 million.

The IFC equity co-investment is of equal size.

Project Cost


Environmental Impact

In line with the Bank’s Environmental and Social Policy (2008), the project, a multi-site operation, has been screened as B, requiring a corporate environmental and social due diligence audit (ESDD). The project is being co-financed by IFC and the Bank's due diligence will utilize the due diligence undertaken to date by among others the IFC. As required this will be expanded to cover the Bank's Performance Requirements (PRs), notably in terms of EU environmental standards.

The due diligence to date has indicated that the Company has the institutional capacity to fully implement the Bank's Performance Requirements (PRs) and is in compliance with National laws and regulations. The main focus of the ongoing ESDD relates to future compliance of current and planned operations with the proposed EU Industrial Emissions Directive (IED). Based on the results of the ESDD an Environmental and Social Action Plan (ESAP) will be developed and agreed with the Company.

The PSD will be updated once the ESDD has been completed.

Technical Cooperation


Company Contact

Bérengère Oster Project Manager
Tel: + 33 1 71 00 76 23
E-mail: boster@dalkia.com

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

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