Moscow, Russia, February 11, 2004 —The
International Finance Corporation (IFC), the private sector financing arm
of the World Bank Group, is lending $17.5 million to OOO Ruscam (“Ruscam”),
Gorokhovets, Russia's highest quality producer of glass bottles. This is
IFC’s third loan to Ruscam following a total of $23 million financing
for Ruscam's first and second furnaces.
IFC’s long-term $17.5 million loan will finance the installation of a
third furnace and four bottle-forming lines that will increase Ruscam’s
production capacity to 975 tons of glass per day and secure its leading
position in the Russian glass bottle market. Ruscam is a subsidiary of
Anadolu Cam Sanayii A.S., the glass packaging division of Sisecam, Turkey's
leading glass producer.
"Our third investment in Ruscam’s glass plant in Gorokhovets underscores
our commitment to the Russian market, which we see as of strategic importance
to the Sise ve Cam Group (Sisecam)," said Mr. Teoman Yenigün, Executive
Vice President of Sisecam’s Glass Packaging Division, at the signing of
the investment agreement today. "Continued support from IFC has been
important to Sisecam in building a strong presence in the Russian glass
"IFC's third investment in Ruscam reflects our strategy of building
long-term partnerships with our clients in the Russian manufacturing sector.
We believe that IFC’s third loan will help Ruscam strengthen its position
on the growing glass container market in Russia and benefit the Russian
beverage industry by increasing the availability of high quality and proprietary
bottles in the market," said Richard Ranken, Director of IFC’s Global
Manufacturing and Services Department.
The mission of IFC is to promote sustainable private sector investment
in developing countries, helping to reduce poverty and improve people's
lives. IFC finances private sector investments in the developing world,
mobilizes capital in the international financial markets, helps clients
improve social and environmental sustainability, and provides technical
assistance and advice to governments and businesses. From its founding
in 1956 through FY03, IFC has committed more than $37 billion of its own
funds and arranged $22 billion in syndications for 2,990 companies in 140
developing countries. IFC's worldwide committed portfolio as of FY03 was
$16.7 billion for its own account and $6.6 billion held for participants
in loan syndications.
Russia joined IFC in 1993. Since then IFC has invested over $1.3 billion
to finance nearly 70 projects across a variety of sectors. IFC significantly
increased its investment program in Russia in the last two years, investing
$217 million in FY02 (July 1, 2001 – June 30, 2002) and nearly $500 million
this fiscal year. IFC’s increased activity reflects the improving investment
climate in Russia, greater opportunities in an increasingly broad range
of sectors, and stronger foreign investor interest.