This project was approved in the context of the Bank's response to the Covid-19 pandemic. To avoid delays to the delivery of this project, the Bank's President granted a deviation from the ordinary timelines for PSD disclosure, as contemplated by Section V of the Directive on Access to Information. Details of the Bank's response to Covid-19, and this deviation, can be found on our website.
A working capital facility for Glass Container Company SA ("GCC", "Company" or "Borrower").
The financing will fill the gap arising from lower sales and negative impact of Covid-19. This will support the borrower's working capital needs - mainly to maintain stable production levels as economies of scale is of critical importance to glass producers.
ETI score: 60
(i) Competitive: The Risk Sharing Framework, or RSF, facilitates access to finance for SMEs, supporting their growth and competitiveness
(ii) Resilient: Transition impact under the RSF is mainly expected to derive from skills transfer to Mobiasbanca, in the areas of financial analysis, risk assessment and project management. The RSF is rated at the framework level Portfolio Transition Impact (PTI) 60 i.e. the sub-projects are not given individual Expected Transition Impact (ETI) ratings.
GLASS CONTAINER COMPANY SA
EBRD Finance Summary
A senior secured loan with a maturity of two years.
Total Project Cost
Up to €1 million senior secured loan, equal to 50 per cent unfunded risk participation in an RSF sub-loan of up to €2 million, provided by the partner bank to GCC.
Under RSF, additionality typically stems from a mix of the following: (i) The EBRD offers an innovative financing structure (e.g. mezzanine financing, risk sharing, etc.) on commercial terms not available from other banks: risk participation to help partner banks with capital and liquidity constraints; (ii) The EBRD offers a tenor, which is above the market average and is necessary to structure the project; (iii) The EBRD offers local currency financing on terms not readily available in the market.
Environmental and Social Summary
Categorised B (2019 ESP). Investment to provide working capital to a glass containers producer are site-specific and can be managed via implementation of the good environmental and social, or E&S, management practices. The borrower is an existing EBRD client with good track record. In-house Environmental and Social Due Diligence (ESDD) was undertaken in line with the EBRD Environment and Sustainability Department's ESDD response to Covid-19 and included the review of the client's annual E&S reporting, ESAP implementation status and Covid-related qestionnaire. ESDD demonstrated that the company is compliant with national E&S regulatory requirement, possesses adequate E&S management systems and has capacity to implement the project in line with the EBRD performance requirements. The client has been successfully implementing the ESAP agreed for the previous project. The company has implemented a Covid-19 response plan that incorporate workers and community health and safety measures. No retrenchment is being envisaged. No new E&S issues were identified. The Bank will monitor the company's environmental and social performance and implementation of the ESAP through annual E&S reports.
Technical Cooperation and Grant Financing
First loss cover - €0.30 million (or 15 per cent of EBRD exposure). Technical Cooperation (TC)/non-TC source: The Small Business Impact Fund (SBIF) for SME Support in Caucasus, Moldova and Belarus.
Company Contact Information
+ 373 22 89 58 00
+ 373 22 89 58 01
201 Uzinelor str., Chisinau city, Republic of Moldova, MD2064
PSD last updated
02 Sep 2020
Further information regarding the EBRD’s approach to measuring transition impact is available here.
For business opportunities or procurement, contact the client company.
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Specific enquiries can be made using the EBRD Enquiries form.
Environmental and Social Policy (ESP)
The ESP and the associated Performance Requirements (PRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the PRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation as well as to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about environmental and social 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 additionally requires its clients to disclose information, as appropriate, about the risks and impacts arising from 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 activities of the Bank 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 Bank believes that identifying and resolving issues at the project assessment approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts, and also helps to monitor integrity risks in projects post-investment.
OCCO is also responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, both within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to email@example.com. All matters reported will be handled by OCCO for follow-up. All reports, including anonymous ones, will be reviewed. 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 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 following its entry into force on 1 January 2020. 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 (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).
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 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; how to submit a Request for review; or contact IPAM via email firstname.lastname@example.org to get guidance and more information on IPAM and how to submit a request.