Summary of Proposed Investment
Project Number
7571
Company Name
ACINDAR INDUSTRIA ARGENTINA DE ACEROS S.A.
Date SPI Disclosed
Jun 17, 1996
Country
Argentina
Industry
Manufacturing
Status
Completed
Sector
Integrated Steel Works
Department
Gbl Ind, Manufact, Agribus & Services
Environmental Category
C - No Impact
Previous Events
Approved : Oct 22, 1996
Signed : Nov 7, 1996
Invested : Nov 7, 1996
Project Description
Summary Of Project Information (SPI)
| Project Name | Argentina-Acindar TF |
| Region | Latin America and Caribbean |
| Sector |
Projected Board DateJuly 17, 1996
Company NameAcindar Industria Argentina de Aceros S.A.
Technical Partner and/or Major Shareholders
The Acevedo family hold approximately 35% of the Company’s common stock and are the largest group shareholder. The rest of the Company’s stock is publicly traded on the Buenos Aires Stock Exchange.
Project Cost Including proposed IFC investment
”A” Loan of US$10 million, “B” Loan of US$70 million, and “C” Loan of US$15 million. The total project cost is US$156 million.
Location of project and Description of site
The principal steel making facilities of Acindar are at Villa Constitución in Santa Fé province.
Description of Company and Purpose of Project
Acindar is the largest integrated producer of non-flat steel products in Argentina. The aim of the investment is to help restructure some of the Company’s debt as it faces a refinancing risk with a US$150 million bond issued in 1993. Additional funding will also be provided to allow the final phase of Acindar’s modernization program to proceed.
Environmental Category and Issues
The proposed finance package is classified as a category “C” project. The modernization project that will also be facilitated by this investment has been previously reviewed and approved as a category “B” project by the environment division. Environmental issues include air emissions, liquid effluents and solid wastes and safety issues include fire protection and emergency response, and employee exposure to chemical substances.
| Date SPI sent to PIC | June 17, 1996 |
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 676-0365
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