The founder of Future Group (comprising various entities in retail and associated businesses including FCL, Future Retail Limited, Future Lifestyle Fashions Limited and others), Mr. Kishore Biyani and his various intermediate investment entities (Sponsor), control 46.3 percent of FCL. Other key institutional investors include Arisaig Partners Asia (Pte) Ltd (7 percent ownership), Verlinvest S.A. (7.3 percent ownership), and Proterra Investment Partners (7.6 percent ownership).

The Project Cost is about INR 3.5 billion. IFC is to invest up to INR 2,100 million in FCL in the form of Compulsorily Convertible Debentures (CCDs) to partly finance the Project. Another key investor in the Project is Verlinvest S.A., which will invest up to INR 700 million and the Sponsor will contribute INR 700 million.

The Project will be carried in various parts of India. All facilities in the Project are existing facilities including the Company’s state-of-the-art integrated food park at Tumkur Region, Karnataka.

This is a Category B project according to IFC’s Policy on Environmental and Social Sustainability as it is expected to have limited environmental and social impacts which are expected to be site-specific, none are expected to be significant, and can be avoided or mitigated by adhering to recognized performance standards, procedures, guidelines and design criteria as described in the following sections.

Key E&S risks and issues associated with this investment are: (i) company’s and each of its subsidiary businesses’ capacity and systems to manage E&S aspects (e.g. processing facilities, warehouses); (ii) emergency preparedness and response, including life and fire safety (LFS) and ammonia-based refrigeration system; (iii) assurance of fair, safe and healthy working conditions for its workforce (including company employees, contractors and third party workers); (iv) resource efficiency (energy and water), and pollution prevention and control (e.g. solid wastes and wastewater); and, (v) labor practices within direct operations and some private label supply chains in line with PS2 requirements.