DCM BT MREL (IFC-49110)

Countries
  • Romania
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
Approved
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
Sep 4, 2024
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
BANCA TRANSILVANIA SA
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Finance
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)
$ 166.19 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.
Primary Source

Original disclosure @ IFC website

Updated in EWS Mar 14, 2025

Disclosed by Bank Oct 8, 2024

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Contact the EWS Team

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.

According to the Bank’s website, the Project comprises an investment of up to EUR 150 million (in EUR or US equivalent) in openly syndicated bonds to be issued by Banca Transilvania SA (BT or the Bank), the largest bank in Romania and IFC’s long standing partner. IFC will invest in publicly listed instruments which will be MREL-eligible and ranked senior non preferred or senior preferred.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

The Project is investment in MREL-eligible bonds to be issued via several issuances by BT under the current EMTN programme. Use of IFC’s funds will be fully earmarked to support eligible green and social projects, including women-owned SMEs, as defined by BT’s Sustainable Finance Framework. Green projects may include energy efficiency, clean transport, green real estate development and renewable energy, and social projects are aimed to support employment generation (youth and women-owned) and access to education and healthcare. This Project will not support any activities on IFC Exclusion List, coal-related projects, offshore wind and/or projects involving higher risk business activities such as: a) involuntary resettlement, b) risk of adverse impacts on indigenous peoples, c) significant risks to or impacts on the environment, community health and safety, biodiversity, cultural heritage, or d) significant occupational health and safety risks. The Project has been categorized as FI-2 in accordance with IFC's Sustainability Policy.

The key E&S risks and impacts derive from the Bank’s capacity to identify and manage the potential environmental and social risks associated with eligible green and social projects, which may include labor and working conditions, occupational health and safety, waste and wastewater management, hazardous materials use.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

The Project will be in a form of IFC’s own account investment of up to EUR150 million in the MREL Bond

IFC's Investment as Approved by the Board: Loan 166.19 million (USD)

Financial Intermediary
A financial intermediary is a bank or financial institution that receives funds from a development bank. A financial intermediary then lends these funds to their clients (private actors) in the form of loans, bonds, guarantees and equity shares. Financial intermediaries include insurance, pension and equity funds. The direct financial relationship is between the development bank and the financial intermediary.
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.

Banca Transilvania S.A. was established in 1993 as a small regional bank, at the initiative of a group of local businessmen and became the largest bank in Romania with a market share in assets of 20.14% as of December 2023. Currently, the Bank operates through circa 513 branches with around 9,500 employees and has a mission to support the development of the business environment, with a focus on SMEs.

BT is listed on the Bucharest Stock Exchange and owned by a diverse pool of international and local investors, both institutional and private individuals.


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.

Banca Transilvania SA 
Diana Mazurchievici 
Director, ESG&IR
+ 40 264 407 150
investor.relations@btrl.ro  
Calea Dorobantilor 30 - 36, 400117, Cluj-Napoca, Cluj, Romania
www.bancatransilvania.ro

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

How it works

How it works