Summary of Proposed Investment
Project Number
11378
Company Name
Belisce d.d.
Date SPI Disclosed
Mar 26, 2002
Country
Croatia
Industry
Agribusiness and Forestry
Projected Board Date
Apr 25, 2002
Status
Completed
Sector
Pulp Mills
Department
Regional Industry MAS LAC & EUR
Environmental Category
B - Limited
Previous Events
Approved : Jun 28, 2002
Signed : Sep 2, 2002
Invested : Nov 4, 2002
Project Description
Belisce is the dominant packaging paper and packaging material producer in Croatia. Thanks to a long tradition in the wood industry and its proven management capabilities, Belisce has consistently performed well and is a key employer and source of revenue in the Croatian region. The project is to support the corporate expansion and modernization program of Belisce which aims at making the company a leading producer of packaging paper and materials in the Balkan region. Belisce is already a major player in its home market - Croatia - and in the countries of the former Yugoslavia. Most of the modernization of Belisce''s own facilities has already been completed with IFC financing during 1997-98. The proposed project will consist of the following components: (i) further modernizing of Belisce''s internal facilities; (ii) acquiring and modernizing of Valkarton, a Slovenian corrugated box producer with a subsidiary in FYR Macedonia; and (iii) restructuring of existing debt.
The proposed investment will have a strong developmental impact as it will: (i) support the development of a locally managed company; (ii) ensure that the most significant employer in the town of Belisce will become a regionally competitive company; (iii) reduce Belisce''s dependence on the domestic market; and (iv) assist the company in the restructuring of its expensive debts and their rescheduling, lending further support to the strategic reorganization and long-term viability of a leading Croatian company. Belisce is the largest employer in the Slavonia County (east Croatia), which is one of the war-devastated regions in Croatia. It plays an active role in the local community through corporate sponsorships of cultural and athletic facilities and bodies. The proposed transaction will help the company to maintain market leadership in Croatia and grow further within the South European region.
The proposed investment will have a strong developmental impact as it will: (i) support the development of a locally managed company; (ii) ensure that the most significant employer in the town of Belisce will become a regionally competitive company; (iii) reduce Belisce''s dependence on the domestic market; and (iv) assist the company in the restructuring of its expensive debts and their rescheduling, lending further support to the strategic reorganization and long-term viability of a leading Croatian company. Belisce is the largest employer in the Slavonia County (east Croatia), which is one of the war-devastated regions in Croatia. It plays an active role in the local community through corporate sponsorships of cultural and athletic facilities and bodies. The proposed transaction will help the company to maintain market leadership in Croatia and grow further within the South European region.
Sponsor / Cost / Location
Development Impact
Related ESRS/ERS
Contacts
For Inquiries About the Project, Contact
Mr. Vlado Jerbic, General Manager
Belisce, Trg Ante Starcevica 1, Croatia.
Phone: 385-31-663-111
Fax: 385-31-663-306
Belisce, Trg Ante Starcevica 1, Croatia.
Phone: 385-31-663-111
Fax: 385-31-663-306