Agrofusion WC Loan (IFC-38058)

  • Ukraine
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
May 26, 2016
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
  • Construction
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 10.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Other Related Projects
Primary Source

Original disclosure @ IFC website

Updated in EWS Aug 29, 2017

Disclosed by Bank Apr 25, 2016

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.
This would be IFC's second project with Agrofusion Group, an existing IFC client since 2012 with good environmental and social performance. Established in 2007, Agrofusion is the largest vertically integrated tomato paste producer in Ukraine, marketing its products mainly to large FMCG (Fast Moving Consumer Goods) companies in Ukraine, the European Union and other countries all over the world. The Company's operational assets include: (i) two tomato paste plants with total processing capacity of approximately 480,000 metric tons of tomatoes per season (8,000 tons of tomatoes a day); (ii) two seedling green-houses; and (iii) 20, 4960 hectares of irrigated leased land in Mykolayiv and Kherson regions, as well as modern farming equipment. The Company reached full production capacity in 2014 to 52,778 tons of tomato paste and in 2015, expanded its capacity with additional capex to 61,500 tons of paste. Agrofusion processing facilities are located in southern Ukraine; Farm Enterprise "Organic systems" in Mykolayiv (Northern factory) and Farm Enterprise "Integrated Agrosystems" in Kherson (Southern Factory) regions, which have traditionally been tomato growing lands. The factories were established in 2007 and 2009 respectively with state of art technologyIFC's financing would consist of a 3-year working capital loan of up to US$10 million secured with Agrofusion's property, plant and equipment.IFC loan would help Agrofusion (i) refinance some of existing short-term credit lines from local banks in the amount of US$4.3 million, and (ii) finance its working capital needs in the amount US$5.7 million, which have been increasing in line with the product output growth. IFC currently has a loan (project # 32322, disclosed on August 10, 2012) with Agrofusion Group and the company has since made good progress in complying with IFC environmental and social (E&S) requirements and the associated performance of the existing project has been highly satisfactory and implementation of the environmental & social action plan is in compliance.
Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Agrofusion Group is wholly-owned by the Sypko family.

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.
Olga Zhukova, Head of Treasury Email: Tel.: +38 0512 58 79 08 ACCOUNTABILITY MECHANISM OF IFC The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at You can learn more about the CAO and how to file a complaint at

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