MHP Regional

Location:

Regional

Project number:

50764

Business sector:

Agribusiness

Notice type:

Private

Environmental category:

B

Target board date:

10 Jul 2019

Status:

Passed Final Review, Pending Board Approval

PSD disclosed:

22 Jan 2019

Translated versions of this PSD: French | Russian

Project Description

Acquisition by MHP SE ("MHP Group") of a majority stake in the holding company of Perutnina Ptuj group of companies ("Perutnina") and subsequent capital investments in it.

Project Objectives

The Project will support MHP Group's strategy to expand its operations in the EU and other countries with the aim to become a multinational producer.

Transition Impact

The Project is expected to contribute to the Integrated quality as it will support MHP in its first cross-border acquisition of such scale, promoting inter-regional FDI and contributing to building a strong and diversified investors' base in Perutnina’s countries of operation. The Project will also promote the investments into Perutnina resulting in significant efficiency gains and cost savings/greater profitability, contributing to the Competitive quality.

Client Information

MHP SE

MHP Group is a leading vertically integrated group engaged in poultry, grain and fodder production in Ukraine.

EBRD Finance Summary

EUR 100,000,000.00

Total Project Cost

EUR 100,000,000.00

Environmental and Social Summary

Categorised B (ESP 2014). The production of poultry products is associated with a number of environmental and social issues which are typically well understood and readily mitigated through standard industry mitigation measures. It is noted that as a fully integrated operation, Perutnina is involved in all stages of production including hatching eggs, hatcheries, breeding, slaughtering, and meat products. As such, Perutnina is exposed to a wide range of environmental, health and safety, labour management and social issues. MHP commissioned an independent environmental audit of facilities operated by Perutnina. The completed report has been provided to the Bank and, following review of the report, the Bank will agree with MHP what additional due diligence may be required to ensure compliance of the Project with the Bank's Performance Requirements.

An Environmental and Social Action Plan will be developed, as necessary, to address any corrective actions required of Perutnina. This PSD will be updated following completion of environmental and social due diligence on this Project by the Bank.

Technical Cooperation

None.

Company Contact Information

Victoria Nagirniak
v.sukhomlin@mhp.com.ua
+38 044 207 00 00
+38 044 207 00 02
www.mhp.com.ua
158, Ak.Zabolotnogo Street, 03143, Kyiv, Ukraine

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

Project Complaint Mechanism (PCM)

The Project Complaint Mechanism (PCM) is the EBRD's accountability mechanism. It provides an opportunity for an independent review of complaints from individuals and organisations concerning EBRD-financed projects which are alleged to have caused, or are likely to cause, environmental and/or social harm.

Please visit the Project Complaint Mechanism page to find information about how to submit a complaint. The PCM Officer (pcm@ebrd.com) is available to answer any questions you may have regarding the submission of a complaint and criteria for registration and eligibility, in accordance with the PCM Rules of Procedure.