Edita II (IFC-47950)

Regions
  • Middle East and North Africa
Geographic location where the impacts of the investment may be experienced.
Countries
  • Egypt
  • Morocco
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
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
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
Aug 31, 2023
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.
Borrower
Edita Food Industries SAE, Edita Participation Cyprus Ltd, Edita Trade and Distribution SAE
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Agriculture and Forestry
  • 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, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 30.00 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.
Loan Amount (USD)
$ 30.00 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.
Bank Documents
Other Related Projects
Primary Source

Original disclosure @ IFC website

Updated in EWS Aug 8, 2023

Disclosed by Bank Jul 31, 2023

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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.

As stated by the IFC, the proposed investment consists of a corporate loan of up to US$45 million by IFC to support Edita Food Industries S.A.E. with Foreign Exchange (FOREX) liquidity needs for (i) working capital for importing production inputs and meeting operational expenses; (ii) addition of production lines to existing factories in Morocco and Egypt, and maintenance capital expenditure (CAPEX) investments in Egypt; (iii) CAPEX requirements for the construction of three pre-treatment/ treatment plants at three existing factories in Egypt (iv) strategic regional expansion in priority markets in the Middle East and sub-Saharan Africa; (v) partial refinancing of existing debt.

Edita’s operational footprint includes five production factories in Egypt, one in Morocco, and a network of distribution centers in both countries. All the production factories are located within industrial zones. Its product segments include cakes, bakery, rusks, wafers, candy, and biscuits targeting broad population segments. Edita is an IFC’s portfolio client. Edita has committed to an ESAP in 2019, which is still under implementation, and has encountered some delays for actions, including on wastewater management and supply chain risk assessment. As such, its E&S performance needs improvements through the completion of the 2019 ESAP and complemented by the ESAP agreed under this proposed investment.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

As stated by the IFC, the main shareholders of the Company are Quantum Investment BV holding, fully owned by the Berzi family, 42.67 percent of the Company’s share capital, the Bank of New York Mellon (acting as depositary bank for shares traded in the London Stock Exchange), managing 11.7 percent of the Company’s share capital, Kingsway Fund Frontier Consumer Franchises holding 9.11 percent of Company’s share capital, RIMCO EGT Investment LLC holding 5.35 percent of Company’s share capital, in addition to several shareholders holding 31.17 percent of the Company’s share capital.  

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
Quantum Investment BV Investor Finance invests in Edita Food Industries Company (S.A.E) Client Industry and Trade
The Bank of New York Mellon Investor Finance invests in Edita Food Industries Company (S.A.E) Client Industry and Trade

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.

General IFC Inquiries - IFC Communications:

Address: 2121 Pennsylvania Avenue, NW, Washington DC 20433
Telephone: +1 202-473-3800
Fax: +1 202-974-4384

Client - Edita Food Industries S.A.E.:

Diana Wadid - Group Treasurer
Phone: +20 238 516 464
Email: diana.wadid@edita.com.eg
Address: P.O Box 64 El Sheikh Zayed – ZIP code 12588, 6th of October City, Egypt
Website: www.edita.com.eg 

ACCESS TO INFORMATION

You can submit a request for information disclosure at: https://disclosures.ifc.org/#/inquiries

If you believe that your request for information from IFC has been unreasonably denied, or that this Policy has been interpreted incorrectly, you can submit a complaint at the link above to IFC's Access to Information Policy Advisor, who reports directly to IFC's Executive Vice President.

ACCOUNTABILITY MECHANISM OF IFC/MIGA

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

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How it works