The proposed IFC investment is to provide a €70 million syndicated senior loan facility to Habesha Breweries S.C., to support their €165 million capacity expansion program, which will increase Habesha’s brewing capacity from an original (2015) 0.3 million hectoliters (capacity in 2018 is currently at 1.2M hectoliters) to 4.5 million hectoliters by 2025 (“the project”). Habesha is 60% owned by Bavaria Overseas Breweries B.V. (“Bavaria” or the “sponsor”), 10% by Linssen Investment (a Dutch rose grower based in Ethiopia) and the remaining 30% is owned by 8,000 Ethiopian shareholders. The expansion will increase the original 7ha footprint of the brewery by a small amount (some 200 meters in one direction beyond the current fence line) and will include the construction of a 3rd brew house, additional bottling lines, additional/reconfigured office space, new malt handling silos, additional cylindrical-conical fermentation tanks (CCTs) and bright beer tanks (BBTs), a new waste water treatment plant (already under construction alongside the existing WWTP) and a new perimeter road and fence to ensure efficient and safe movement of increased truck traffic within the premises.
Habesha Breweries S.C. (‘the company’), includes a brewery located 3km south of the town of Debre Birhan, in the Amhara Regional State North Shoa Zone, Basona Warena woreda, Ethiopia, 120km north west of the capital, Addis Ababa. The company also has a head office in Addis Ababa. The company is one of the larger brewers in Ethiopia and distributes its beer to just under half of the geographic area of the country. The brewery was constructed between 2012 and 2015, brewing and packaging the first brew in June 2015.
No contact information provided at the time of disclosure
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