Kronospan UA - OSB investment (EBRD-50479)

Countries
  • Ukraine
Where the impacts of the investment may be experienced.
Financial Institutions
  • European Bank for Reconstruction and Development (EBRD)
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
Kronospan UA
The holder of the loan, grant, or other investment.
Sectors
  • Construction
  • Industry and Trade
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 85.93 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Currency conversion note:
Bank reported EUR 76
Converted using 2019-03-22 exchange rate.
Project Cost (USD)
$ 189.95 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Currency conversion note:
Bank reported EUR 168
Converted using 2019-03-22 exchange rate.
Primary Source

Original disclosure @ EBRD website

Updated in EWS Apr 20, 2019

Disclosed by Bank Mar 22, 2019


Contribute Information
Can you contribute information about this project?
Contact the EWS Team

Project Description

According to EBRD website, the project assumes the construction of an Oriented-Strand Board (OSB) production facility to meet the growing demand for OSB products in Ukraine and in the export markets. Kronospan will also invest into creation of cluster for furniture producers, a new transformer substation, bio-mass boiler and WESP filter at the site.

Investment Description
  • European Bank for Reconstruction and Development (EBRD)

A senior loan of up to €116 million, of which up to €40 million would be syndicated in A/B-loan structure.

Private Actors

Kronospan UA is a wholly-owned Ukrainian subsidiary of Kronospan Holdings PLC, Cyprus.

Kronospan is the market leader in the wood-based panel sector. It manufactures wood-based panel products at over 40 sites and has 16 distribution centres in 21 countries.

Contact Information

Natalia Pokinska
n.pokinska@kronospan.com.ua
+380 3344 43 600
+380 3344 43 619
www.kronospan-worldwide.com
Kronospan UA LLC 20 Lutska Street 45400 Novovolynsk Volyn Region Ukraine

ACCOUNTABILITY MECHANISM OF EBRD

The Project Complaint Mechanism (PCM) is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an European Bank for Reconstruction and Development (EBRD)-financed project. If you submit a complaint to the PCM, it may assess compliance with EBRD's own policies and procedures to prevent harm to the environment or communities or it may assist you in resolving the problem that led to the complaint through a dialogue with those implementing the project. Additionally, the PCM has the authority to recommend a project be suspended in the event that harm is imminent. You can contact the PCM at pcm@ebrd.com or you can submit a complaint online using an online form, http://www.ebrd.com/eform/pcm/complaint_form?language=en. You can learn more about the PCM and how to file a complaint at http://www.ebrd.com/work-with-us/project-finance/project-complaint-mechanism.html.