Kiev, Ukraine, June 17, 2010—IFC,
a member of the World Bank Group, is providing leading Ukrainian poultry
producer Myronivsky Hliboproduct with $61.25 million in financing to help
the company expand its grain-farming and poultry operations and create
thousands of jobs in rural Central Ukraine.
In its third transaction with Myronivsky Hliboproduct, IFC will provide
a $50 million loan to support the company’s plans to expand in the Vinnytsa
region. The company expects to increase its workforce by around 7,000 from
its current 20,580 following the planned investment program. IFC
also will provide up to $11.25 million through an innovative financing
mechanism—the first partial credit guarantee by IFC in the Ukrainian leasing
“We are happy to have a long-standing relationship with IFC which continues
to strengthen and expand our company,” said Yuriy Kosyuk, Chief Executive
Officer of Myronivsky Hliboproduct. “This latest transaction will
enable us to continue implementing our strategy of vertical integration
by expanding our operations to deliver high-quality products on the
Rashad Kaldany, IFC Vice President for Asia, Eastern Europe, Middle East
and North Africa, said, “Agribusiness is a priority sector for IFC in
Ukraine and the Europe and Central Asia region. By working with strong
partners such as Myronivsky Hliboproduct we aim to support the development
of this sector, which has tremendous potential to serve domestic and global
markets while creating jobs and boosting growth.”
IFC’s partial credit guarantee is a new financial product for the Ukrainian
market and will help enhance companies’ risk-management capacity in the
current challenging economic environment. IFC worked with a Ukrainian
subsidiary of ING Lease, a top international leasing firm, to develop the
financial product that will enable long-term investment in agricultural
equipment and machinery. IFC’s guarantee will be provided to ING
Lease Ukraine for agricultural machinery leased by Myronivsky Hliboproduct.
Both IFC and ING Lease are committed to expanding the guarantee program
to facilitate credit availability and sufficient tenors for financing.
IFC, a member of the World Bank Group, creates opportunity for people to
escape poverty and improve their lives. We foster sustainable economic
growth in developing countries by supporting private sector development,
mobilizing capital for private enterprise, and providing advisory and risk
mitigation services to businesses and governments. Our new investments
totaled $14.5 billion in fiscal 2009, helping channel capital into developing
countries during the financial crisis. For more information, visit www.ifc.org.
For more information about Myronivsky Hliboproduct, please visit http://www.mhp.com.ua/.
For more information about ING Lease Ukraine, please visit http://www.ingcommercialbanking.com/eCache/ENG/14/471.html.