20.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	20.0
Equity

* These investment figures are indicative

 Increased access to high-quality and low-cost generics: The Project has the potential to increase competitiveness in the pharmaceutical market through the entry and expansion of a generic pharmaceutical manufacturer that will introduce a greater variety of medicine and sell medicine at relatively lower prices than the originator brands. The entry of additional generics companies into markets leads to further price reductions as competitive pressures intensify. - South-South knowledge transfer: As Neolpharma expands its regional footprint, it will bring new products, more stringent operational and quality practices, as well as knowledge and technology transfer to other countries. - Employment generation and development of SMEs: with the new injectables plant, Neolpharma expects to generate 500 direct new jobs in Mexico during and after construction phase. The Project will also bring 2,000 indirect employment through the Company's purchases of goods and services. In addition, the new plant in Toluca will generate 250 direct new jobs. - Increased exports: the Pharmaceutical sector was officially declared as a strategic export sector for the Government of Mexico ("GoM"). Neolpharma's growth strategy to expand outside of Mexico is in line with the GoM priorities as it aims at increasing exports and strengthening Mexico's regional competitiveness. - High demonstration effect on the importance, technical feasibility and financial sustainability of the API industry: One of Neolpharma's strategic projects is increasing its API plant's capacity, which will create a positive demonstration effect on the feasibility and financial sustainability of an API plant.

Corporate Governance ("CG"): IFC will advise the Company on the implementation of CG international best practices based on IFC's experience working with family-owned companies in different markets. IFC's CG Advisory will help the Company to achieve a higher level of sophistication in corporate governance which is critical for the continuity of the business in the long run and for the achievement of Neolpharma's medium to long term goals. - Long-term financing: IFC's long-term commitment to support Neolpharma's expansion plan will also send positive signals to the market on the quality of the Management Team and operations, which will help the Company as it continues growing in the region. - Knowledge, innovation and capacity building: Neolpharma aims to continue expanding outside of Mexico. Through the support from IFC's global industry expertise and client network, IFC can help the Company sharing knowledge on potential partners in new markets given IFC's healthcare expertise in Emerging Markets, global network, and its local presence in many markets. - Standard-setting by providing advice on E&S Best Practice and Energy Efficiency.

Please refer to the related Environmental and Social Review Summary (ESRS) document for this project.

Please refer to the Environmental and Social Action Plan (ESAP) tab in the related Environmental and Social Review Summary (ESRS) document for this project.