Addis Ababa Bottle And Glass Share Company (IFC-40108)

Countries
  • Ethiopia
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
Proposed
Bank Risk Rating
B
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Borrower
ADDIS ABABA BOTTLE AND GLASS SHARE COMPANY
The holder of the loan, grant, or other investment.
Sectors
  • Industry and Trade
The service or industry focus of the investment. A project can have several sectors.
Investment Amount (USD)
$ 25.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Bank Documents
Primary Source

Original disclosure @ IFC website

Updated in EWS Aug 19, 2019

Disclosed by Bank Jul 16, 2019


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Project Description

Addis Ababa Bottle and Glass Share Company (“Addis Glass” or “the company”) is an existing manufacturer of container glass products for the Ethiopian market. The company was established in 1972, approximately 8.5km from Addis Ababa city center along the road to Ambo, in Kolfe Keraniyo subcity, Woreda 13 (https://goo.gl/maps/HqNs1PVsbpM2).Addis Glass currently operates two electric furnaces with a combined design capacity of 80 tons per day (tpd). It produces glass container packaging for beer, soft drinks, liquor, wine, cosmetics, mineral water, and food markets.Glass bottle manufacturing requires silica sand, limestone, dolomite, soda ash and other raw materials. The company owns two quarries in Debra and Harar for sourcing silica sand and dolomite respectively. Limestone is sourced from local cement companies, soda ash, both locally and imported from Magadi Soda in Kenya and cullet from the customers. The production process generally does not generate much waste.The proposed project comprises a financing package - of a $25m loan, to support the company’s capital investment program to add 160 tpd of capacity and upgrade its existing glass bottle manufacturing plant; and the establishment of the new raw material preparation site in Sululta, approximately 30km from Addis Ababa city: https://goo.gl/maps/strZUNEyDUT2, (“the project”). The total capacity after project completion will increase from the current 80 tpd to 240 tpd.The raw materials preparation yard in Sululta is located within the Woreda administration assigned for industry and other development services. The site will be used for raw material (silica sand, cullet, limestone and dolomite) preparation which involves, size reduction, crushing, washing, milling, classifying, drying; sieving and storing. The site will be upgraded with modern crushers, rod mill, hydro cyclone, spiral classifier, rotary dryer, cullet crusher, cullet washer and temporary buildings for material storage.

Investment Description
  • International Finance Corporation (IFC)
Contact Information

Contact Person: Mr. Ketema Abebe

Company Name: Addis Ababa Bottle & Glass Share Company

Address: Kolefe Keranyo, Adjacent to Mikyliland Condiminium, Woreda 13, HN0, P.O

Box: 5591, Addis Ababa

Email: ketemaa04@gmail.com or botgla@yahoo.com

Phone: +251112702628

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 CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/