Velka Pecka (Rohlik)

Location:

Regional

Project number:

52540

Business sector:

Agribusiness

Notice type:

Private

Environmental category:

B

Approval date:

10 Feb 2021

Status:

Signed

PSD disclosed:

15 Mar 2021

As permitted by paragraph 2.6 of Section III of the Access to Information Policy, disclosure of this PSD was deferred in accordance with paragraph 1.4.4 of the Directive on Access to Information.

Project Description

An equity investment of EUR 30m in favour of VELKA PECKA s.r.o. (the "company"), the leading online grocery retailer in the Czech Republic operating under the local brand name Rohlik.

Project Objectives

The Bank's investment is a purchase of shares in the company which is part of a ca. EUR 185m fundraising round to support scaling-up of its existing operations in Hungary, Austria, and its international expansion to Romania, Germany and potentially other countries where the EBRD operates. The company provided the Bank with a commitment to invest in Hungary, Romania and other EBRD countries of operations. 

Transition Impact

ETI score: 71

The expected Transition Impact will stem from the "competitive" and "inclusive" qualities.

Competitive: The project will support the company's expansion in EBRD countries of operations, allowing it to replicate its successful business model and reach economies of scale in targeted cities leading to material operating efficiency improvements above prevailing international standards for the industry, as well as expansion of the network of organic farmers in Hungary and Romania.

Inclusive: The company will introduce internal trainings in partnership with local education providers for more than 600 young people in Romania and Hungary.

Client Information

VELKA PECKA SRO

Founded in 2014 in the Czech Republic, Rohlik is the European leader of e-grocery in Central Europe and already active in the Czech Republic (Rohlik.cz), Hungary (Kifli.hu) and Austria (Gurkerl.at). By owning its end-to-end operations, including all technology in-house, Rohlik provides a superior customer experience and the freshest food from local farmers and artisans as well as a broad supermarket selection.

For more information visit www.rohlik.group 

EBRD Finance Summary

EUR 29,999,412.00

equity investment

Total Project Cost

EUR 185,000,000.00

equity investment

Additionality

The Bank's equity financing is additional as the issue is a relatively sizeable capital raise. Non-financial additionality stems from the company's commitment to target gender parity in STEM and managerial roles. 

Environmental and Social Summary

Categorised B (ESP 2019).  The environmental and social (E&S) issues associated with online retailing are limited and focused on occupational health and safety, emissions from vehicles, packaging and waste management and supply chain management.  The Company has in place a number of initiatives to address some of these key issues including the development of more organic production within supplier farms, and use of more recycled and recyclable packaging. The positive environmental and social benefits of these are recognised. The Bank agreed with the Company actions to ensure that appropriate E&S staffing capacity is put in place and that formalised management systems are instituted to allow prioritisation of key E&S issues, setting of KPIs, monitoring of actions and reporting on achievements. These actions are outlined in the Environmental and Social Action Plan agreed with the Company.

Company Contact Information

VELKÁ PECKA s.r.o.
info@rohlik.group
Sokolovská 100/94, Karlín, 186 00 Praha

PSD last updated

15 Mar 2021

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 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 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 compliance@ebrd.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 ipam@ebrd.com to get guidance and more information on IPAM and how to submit a request.

 

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