Summary of Proposed Investment
Project Number
7638
Company Name
OMNIUM CHIMIQUE ET COSMETIQUE S A
Date SPI Disclosed
Jun 6, 1996
Country
Cote D'Ivoire
Industry
Agribusiness and Forestry
Status
Completed
Sector
Vegetable Fats and Oils
Department
Gbl Ind, Manufact, Agribus & Services
Environmental Category
C - No Impact
Previous Events
Approved : Jun 28, 1996
Signed : Dec 18, 1996
Invested : Mar 17, 1997
Project Description
revised Summary Of Project Information (SPI)
| Project Name | Côte d’Ivoire-Sifca/Cosmivoire |
| Region | Sub-Saharan Africa |
| Sector |
Projected Board DateJune 27, 1996
Company NameCosmivoire S.A.
Technical Partner and/or Major Shareholders
La Société Nouvelle Sifca (Sifca)
Project Cost Including proposed IFC investment
The estimated project cost: US$16.0 million. IFC Investment (Quasi-Equity): US$2.5 million, and a local currency guarantee up to US$4.5 million equivalent which is contingent on prepayment of IFC’s exisitng loan of US5.0 million.
Location of project and Description of site
The Company’s main plant is located in an industrial zone in Abidjan, the economic capital of Côte d’Ivoire
Description of Company and Purpose of Project
The Cosmivoire Group was severely affected by the 1994 CFA Franc devaluation. The sponsor, Sifca, took over the Group in 1995 and has been implementing various measures to improve the Group’s efficiency, including the rehabilitation of the Group’s existing facilities. The project is to help Sifca complete the rehabilitation and allow the Group to maximize its production efficiency. The project has a number of positive development impacts. It will help an established company put existing assets to more productive and profitable use and stay in business in this important local transformation industry. Secondly, the project helps a company that adds value to local resources with a possibility for exports. Finally, consumers will benefit in the form of more choice and lower prices through continued competition in the sector.
Environmental Category and Issues
This is a category C project according to IFC’s environmental review procedure. IFC financed two independent environmental audits of the Cosmivoire Group, one in 1993 and a second in 1994. In addition, an independent technical site visit and review was completed in 1995. Sifca, the new sponsor of the Cosmivoire Group, has committed to implement, immediately after takeover of the Group, the recommendations of these audits and site visits (audit reports have been provided under separate cover) and to upgrade waste water treatment systems. Based on these commitments, it is anticipated that the project will comply with the applicable World Bank guidelines and local requirements. In addition to the standard environmental clause in the Investment Agreement, language requiring the sponsor to implement, immediately after takeover of the Cosmivoire Group, audit recommendations will also be included.
| Date SPI sent to PIC: Revised: | May 2, 1996 June 6, 1996 |
telephone: (202) 473-7711
facsimile: (202) 676-0365
Sponsor / Cost / Location
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