Summary of Proposed Investment
Project Number
26792
Company Name
SVISS KRONO, OOO
Date SPI Disclosed
May 21, 2008
Country
Russian Federation
Industry
Agribusiness and Forestry
Projected Board Date
Jun 20, 2008
Status
Completed
Sector
Wood Panels and Engineered Wood Products
Department
Regional Industry MAS LAC & EUR
Environmental Category
B - Limited
Previous Events
Approved : Sep 16, 2008
Signed : Dec 4, 2008
Invested : Aug 26, 2009
Project Description
Krono Holding (the sponsor) through its Russian subsidiary, Kronostar, has implemented one of the largest downstream investments in the Russian forest sector of the past couple of decades. This Euro 350 million composite panel facility was implemented in phases starting in 2003. Earlier phases of the project were funded in part by IFC.
The project currently under consideration involves:
- the financing of a project cost overrun, caused in part by an expanded environmental protection scope (over and above the original requirements) of project phases I and II, and
- the financing of production capacity expansion.
Total project cost is estimated at Euro 120 million of which Euro 100 million represents overruns and expanded scope of the project which has already been financed with a combination of equity, subordinated loans from the sponsor and short term debt from Russian banks. A resin plant may be constructed at some time in the future, though that is not included within the cost of the currently considered project.
The project currently under consideration involves:
- the financing of a project cost overrun, caused in part by an expanded environmental protection scope (over and above the original requirements) of project phases I and II, and
- the financing of production capacity expansion.
Total project cost is estimated at Euro 120 million of which Euro 100 million represents overruns and expanded scope of the project which has already been financed with a combination of equity, subordinated loans from the sponsor and short term debt from Russian banks. A resin plant may be constructed at some time in the future, though that is not included within the cost of the currently considered project.
Sponsor / Cost / Location
Development Impact
Related ESRS/ERS
Contacts
For Inquiries About the Project, Contact
Company Representative
Krono Holding AG
Haldenstrasse 12
CH-6006 Lucerne
Switzerland
Phone : 0041-41-419-03-02,
Fax : 0041-41-419-03-25
Krono Holding AG
Haldenstrasse 12
CH-6006 Lucerne
Switzerland
Phone : 0041-41-419-03-02,
Fax : 0041-41-419-03-25
For Inquiries and Comments About IFC, Contact
General IFC Inquiries
IFC Corporate Relations
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384
E Mail: Webmaster
IFC Corporate Relations
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384
E Mail: Webmaster
Local Access of Project Documentation
The environmental documents are available in the company’s offices and the Sharja Municipal Building at the following respective addresses:
KronoStar GMBH
Zentraljnaja Strasse 4
157531 Wetluschskij
Sharja, Kostroma
The Russian Federation
- Sharjah Municipal Building
Sharja, Kostroma
The Russian Federation
KronoStar GMBH
Zentraljnaja Strasse 4
157531 Wetluschskij
Sharja, Kostroma
The Russian Federation
- Sharjah Municipal Building
Sharja, Kostroma
The Russian Federation