Turkiye Sise ve Cam Fabrikalari A.S. Group (“Sisecam” or the “Group”), headquartered in Istanbul, Turkey, is one of the largest glass producers in Europe.

The project cost is estimated at $170 million. The IFC investment will consist of an A loan of up to $40 million, a C loan of up to $30 million (or a combination of both). IFC will also explore with the Sponsor and the Company a possibility of mobilizing of up to $40 million in a syndicated B loan or a parallel loan.

69.99 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	69.99
Equity

* These investment figures are indicative

The project will be focused (but may not be limited to) on Trakya’s plants in Mersin, Turkey and Targovishte, Bulgaria.

The project will provide a strong demonstration effect and support development and expansion of solar business in other glass manufacturers in the region having a significant positive impact on climate change. Sisecam’s investments in solar glass will encourage further investments in the supply chain and expansion of solar cell industry in Turkey which will create jobs and promote private sector investments in renewable energy.

IFC will play a strong role as a financier and partner, while supporting a major portfolio client through the crisis and helping it complete strategic investments at a time when banks have drastically reduced lending. IFC will provide long-term debt financing adapted to the cyclicality of the industry. IFC’s in-house expertise in glass and solar energy industries and its credibility in prudent projects structuring are important factor in mobilization of additional debt financing. Finally, IFC will assist the Company in reducing its carbon footprint and continue to work with Sisecam in enhancing its group approach to environmental management.

This corporate-level investment is a Category B project according to IFC’s Procedure for Environmental and Social Review of Projects. The project has limited potential adverse environmental or social impacts, with those that do exist are site-specific and easily mitigated. The company is ready to implement an Environmental, Social, Health and Safety Action Plan (“ESAP”) in order to comply with the IFC Policy and Performance Standards on Social and Environmental Sustainability.

IFC recognizes that significant part of the investment will be allocated to improve environmental performance primarily in the area of reducing climate change effects and pollutant air emissions. In addition to these aspects, IFC has assessed the following environmental issues during the appraisal: optimized use of raw materials, energy efficiency, water and effluent management, hazardous materials use and waste management. Occupational health and safety issues were reviewed as well as emergency preparedness and response. Management of labor relationship, human resources policy and training programs have been assessed in particular with respect to the terms of employment, worker rights, non-discrimination and mechanisms to address grievance.

All the above issues were reviewed along at the corporate level as well as at facility level. A strong focus was put on health, safety and environmental (HSE) management systems as well as on labor management and their implementation. IFC has been working closely with Sisecam over the last 3 years to improve their HSE management and environmental performance. An agreement has been reached to install secondary control systems over a period of 3 year at each float furnace to ensure compliance with guidelines.