Axtone

Location:

Poland

Project number:

46305

Business sector:

Manufacturing and Services

Notice type:

Private

Environmental category:

B

Target board date:

07 May 2014

Status:

Complete

PSD disclosed:

04 Apr 2014

Translated version of this PSD: Polish

Project Description

The EBRD is considering providing a loan up to EUR 27 million to Axtone S.A., a company established in Poland, for the

(i) refinancing of existing financial indebtedness

(ii) new investments in R&D activity and product development and

(iii) market expansion via potential acquisitions in the Bank’s Countries of Operations. The project will be co-financed with a group of commercial banks.

Transition Impact

The transition impact of the project will derive from the demonstration effects of the successful restructuring of Axtone’s potential acquisition targets and from the transfer of management and business standards from a strategic investor like Axtone to small and medium-sized companies in order to improve their operations.
By participating in the financial restructuring of Axtone the Bank will also enable the company to concentrate on operational improvements, incl. development of new products and innovative solutions, potential consolidation by acquisitions and expansion into new markets.

The Client

Axtone is one of the leading global producers of railway shock absorption technology and crash systems for rolling stock, specialising in high quality products and solutions. The company is fully owned by IK Investment Partners, an international private equity fund.

The company’s Headquarters and the biggest production plant are located in Kanczuga, Poland, with four other production facilitates in Germany, Russia and Czech Republic and a joint venture in China.

EBRD Finance

The EBRD is considering providing a EUR 27 million senior term loan facility to Axtone consisting of refinancing facilities and CAPEX tranche.

Environmental Impact

The project has been categorised B in accordance with the EBRD’s Environmental and Social Policy. Environmental and Social risks related to production of rolling stock components are likely to be localised and can be managed via appropriate controls. The ESDD carried out by in-house ESD specialists will cover the company’s capacity and standards in relation to EHS performance and a detailed review of company’s policies regarding the pre-acquisition due diligence process. A relevant ESAP will be developed to cover among others future detailed environmental and social audits of target sites and the company’s commitment to bringing acquired sites into compliance with relevant national legislation and EBRD Performance Requirements.

Technical Cooperation

None.

Company Contact

AXTONE sp. z o.o. Office in Warsaw
ul. Poleczki 23 g
PL-02-822 Warszawa , Poland
Tel.: +48 (0) 22 335 21 15
Fax: +48 (0) 22 335 21 10
e-mail: info@axtone.eu

 

Business opportunities

For business opportunities or procurement, contact the client company.

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Email: procurement@ebrd.com

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