The Black Sea Trade and Development Bank intends to issue a loan of up to $ 20 million to a group of companies that owns two Araks shopping centers in Kyiv.
“The loan will support the modernization and upgrade of the commercial property owned by the group and located in Kyiv and Khmelnytsky substantially for the purpose of improving their energy efficiency and reducing energy consumption, as well as the refinancing of the group’s existing credit portfolio, Asters, a legal company acting as a loan advisor, said.
The network of Araks shopping centers in Kyiv includes two objects: the object opened in Kiltseva Street in 2009 (27,000 sq m) and the one launched in the village of Khodosivka in September 2019 (Kyiv region, 15,000 sq m).
The group also owns the Oasis shopping and entertainment center (30,000 sq m), opened in Khmelnytsky in 2008.
The European Bank for Reconstruction and Development (EBRD) has provide ProCredit Bank (Kyiv) with a four-year amortising senior unsecured loan of up to EUR 25 million equivalent for on-lending to eligible micro, small and medium-sized enterprises (MSMEs).
According to the EBRD’s report to the Interfax-Ukraine agency on Friday, the agreement was signed by EBRD Managing Director for Financial Institutions Francis Malige and Board Chairman of ProCredit Bank Viktor Ponomarenko.
In addition to long-term financing, eligible sub-borrowers will receive technical assistance funded by the EU and grant support in the form of investment incentives upon the completion of their investment projects.
At least 70% of all financed sub-loans are expected to be compliant with EBRD Green Economy Transition (GET) approach.
ProCredit Bank was founded in 2001. Its only shareholder at the beginning of 2021 was ProCredit Holding (100% of shares).
According to the National Bank of Ukraine, as of March 1, 2021, ProCredit Bank ranked 16th in terms of total assets (UAH 27.413 billion) among 73 banks operating in the country.
The European Bank for Reconstruction and Development (EBRD) will provide a EUR 10 million two-year committed local currency-denominated working capital loan to the Ukrainian electricity and gas supplier ERU Trading LLC.
As stated in a report of the bank, the decision was made by the board of directors on June 9.
“EBRD funds will be used to support growing gas trading operations of ERU Trading in order to secure low cost gas from EU during summer season and store it in Ukrainian gas storages with further sale in Ukraine,” the EBRD said.
According to EBRD, the proposed project supports a private, independent trader in competing with the dominant player, Naftogaz, in an increasingly liberalised market, and facilitates increased liquidity and competition on the private energy exchange UEEX following the MoU signed by the EBRD in July 2020.
The EBRD will become the first international financial institution in the existing loan portfolio of ERU Trading.
ERU Trading LLC, established in 2016, belongs to Yaroslav Mudry and Dale Perry. According to the information on the company’s website, gas supplies to the population are an important part of its strategy. In February of this year, the company received the license from the energy regulator.
EBRD, ELECTRICITY, GAS, LOAN
The European Bank for Reconstruction and Development (EBRD) will provide a EUR 20 million senior secured loan to Winner Imports Ukraine LLC, Ukrainian importer and retailer of several well-known international vehicle brands. The money will be invested in sustainable dealerships for Renault and Volvo.
As reported on the bank’s website on Tuesday, the loan was approved by the EBRD’s board of directors on May 18. Financing will focus on green economy transition and circular economy through investments in dealerships, expansion of client’s logistic capacities, distribution and service infrastructure for vehicles, including electric.
“All building financed by the Bank will obtain BREEAM or EDGE sustainable certification. Project contributes to the adoption of advanced green practices in a country where such standards and practices are still uncommon, for instance, according to the latest data, only 12 BREEAM certificates have been issued in Ukraine to date with only one certificate issued in the retail category,” the EBRD said.
The total cost of the project is EUR 43 million, but the sources of co-financing are not given.
Winner Imports Ukraine LLC, part of Winner Group, is the official importer of Ford, Volvo, Jaguar, Land Rover, Porsche and Bentley, SAIC Motor vehicles in Ukraine.
In addition, in 2020, the company became an official dealer of the Renault auto brand, since the spring of the same year it began to provide services for cars of this brand in its multi-brand center Winner Automotive, and has planned to open a Renault concept dealership this year.
Winner Group Ukraine has been operating in the Ukrainian market for over 28 years, during this time more than 140,000 cars have been sold and more than 50 dealer centers have been opened in Ukraine.
The Cabinet of Ministers at an extraordinary meeting on April 19 approved a project to attract a $ 100 million loan from the International Bank for Reconstruction and Development (IBRD) for export-oriented small and medium-sized enterprises (SME), the Ministry of Finance said.
“Today, on April 19, 2021, the has government adopted a resolution on some issues of the implementation of the joint investment project with the IBRD on additional financing to counter COVID-19 within the framework of access to long-term financing, the Finance Ministry’s website said.
The additional financing project provides for a loan from the IBRD in the amount of $ 100 million to provide export-oriented SMEs with access to long-term financing, the ministry explained.
The Ministry of Finance notes an increase in demand from potential financial institutions participating in the project amid the coronavirus crisis.
At the same time, the government supported the draft presidential decree on the creation of a Ukrainian delegation to participate in negotiations with the IBRD and authorized the chairman of the board of Ukreximbank to sign the guarantee agreement between Ukraine and the IBRD, the Ministry of Finance said.
Earlier this week, Ukraine repaid early a short-term loan from Deutsche Bank AG London in the amount of about $350 million, attracted at the end of last year, a source in the market has told Interfax-Ukraine.
According to the source, taking into account interest, the payment reached some $354 million.
Interfax-Ukraine could not immediately reach the Ministry of Finance for confirmation of the information.
As reported, according to government resolution No. 1291 dated December 23, 2020, this is a bridge loan taken for up to six months at a rate of up to three-month LIBOR + 5.75%, which can be repaid ahead of schedule in the event of a change in the market price of Ukraine’s eurobonds or new issue on the terms determined by the loan agreement.
Early 2021, the Ministry of Finance said that in the last days of 2020 it attracted a short-term $340.7 million loan from Deutsche Bank. According to the ministry’s statistics, in December 2020, Ukraine’s debt to this creditor increased by $372.6 million, to $1.313 billion, and by the end of February 2021 it decreased to $1.272 billion.
