PROJECT

Projects

Summary of Investment Information

Project Number

46445

Company Name

UNIAO QUIMICA FARMACEUTICA NACIONAL SA

Date SPI Disclosed

Aug 26, 2022

Country

Brazil

Region

Latin America and the Caribbean

Projected Board Date

Oct 14, 2022

Environmental Category

B - Limited

Status

Active

Last Updated Date

Jun 9, 2023

Department

Regional Industry MAS LAC & EUR

Industry

other

Previous Events

Approved : Nov 2, 2022
Signed : Feb 2, 2023
Invested : Jun 5, 2023

Sector

other

Project Description

The proposed investment entails an up to US$65 million A loan in BRL equivalent to União Química Farmacêutica Nacional S.A. (“UQ” or the “Company”), a life science manufacturing company headquartered in Brazil. The proceeds will be used to (i) expand production capacity with a focus on antibiotics, corticoids, anti-inflammatories, anesthetics, and others serving the hospital segment which had a spike in demand due to COVID-19 and supply disruptions; (ii) upgrade two existing plants to produce vaccines (both for COVID-19 and other uses); and (iii) finance working capital needs (all investments together are defined as the “Project”).

With over 85 years of operations, the Company has grown into a diversified pharmaceutical manufacturer for human health (prescription drugs and OTC for retail and hospital clients), animal health and toll manufacturing.

Associated Advisory Engagement

IFC will provide advisory support to União Química to help them in two key aspects i) increasing access to vaccines in the region by advising on the expansion of their vaccines capabilities and ii) evaluating energy efficiency and decarbonization opportunities.

Sponsor / Cost / Location

Development Impact

E&S Category Rationale / Risks and Mitigation