The provision of a senior loan of up to US$3 million to ES Biyat the second largest beer producer in Turkmenistan. The loan will finance a new production line, which will help process spent grain into animal/fish feed, help diversify product range and improve distibution as well as to replenish necessary workign capital
As a result fo the project, ES Biyat is expected to:
- Implement the conversion of its spent grain into animal/fish feed thus introducing a circular economy business model;
- Diversify its product range with the aim of expanding its presence in the premium market segment;
- Improve the malt storage quality;
- Expand the distribution chain.
ETI score: 80
The DFF SME framework primarily targets the Competitive quality by helping the SMEs to restructure and to become more efficient or professional. Sub-projects can target any of the other transition qualities as the secondary objective. The majority of projects typically support the Well-governed quality by helping companies improve their financial management, or the Green quality by facilitating energy efficiency or environmental improvements.
BIYAT ECONOMIC SOCIETY
ES Biyat, a limited liability company organised and operating in Turkmenistan since 1996, is the second largest beer producer in the country. The soft drinks producer ES Mahmal Zip and the fish farm ES Elin Balyk are related to Biyat through common owners or direct ownership
EBRD Finance Summary
A senior secured loan of up to US$ 3 million, of which up to US$ 0.9m will be co-financed by the Innovation and Sustainability in Agribusiness Value Chains Account of the Financial Intermediary and Private Enterprises Investment Special Fund sponsored by the International Cooperation and Development Fund (the "TaiwanICDF").
Total Project Cost
Financing Structure - the EBRD offers financing that is not available in the market from commercial sources on reasonable terms and conditions. Risk mitigation - the EBRD's long-term relationship with a client provides comfort to the client to be willing to take on more risk and/or finance, enabling outcomes such as innovation or expansion into new markets. Gender SMART - Client seeks/makes use of the EBRD expertise for the adoption of gender standards and/or equal opportunities action plans (e.g. improving women's access to safe transport and/or women-led businesses participation in the client supply chain).
Technical Cooperation and Grant Financing
Project appraisal by an international expert in circular economy and waste management: a review of the waste recycling project for its technical and financial viability and on its GET impact; €33,100 funded from GEF with 10 per cent client contribution.
Gender and Economic Inclusion: Help with enhancing women's access to technical and managerial positions and endorsing the UN Women's Empowerment Principles (UN WEPs), strengthening governance for inclusive policies and practices. € 27,000 expcted from SSF with 10 per cent contribution by the Client.
Support to the installation of an Energy Management System (EMS) and preparation to the ISO 50001 certification: Expert, hardware and software help with the introduction of the EMS to reduce energy consumption and preparation for the certification according to the ISO 50001 Energy Management standard. Up to € 140,000 (corresponding to 50 per cent of the eligible costs) confirmed to be funded from SSF.
Company Contact Information
4, Yenish Seyilgahi Str. Bagtyyarlyk Etrap, Parahat microdistrict Ashgabat, Turkmenistan
PSD last updated
14 Oct 2021
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Independent Project Accountability Mechanism (IPAM)
If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. 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).
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