Mykolayiv, Ukraine, September 21, 2005—The
International Finance Corporation (IFC), the private sector financing arm
of the World Bank Group, provided a $10 million loan to Sandora Ltd., the
number one producer of branded packed juices and nectars in Ukraine. IFC’s
financing will support the company’s expansion strategy in the production
of juices and drinks.
This is IFC’s second loan to Sandora. IFC provided a first loan of $10
million in June 2004 to help the company strengthen its market position
by improving product quality, strengthening its local supply base, and
broadening its reach to Ukrainian consumers. Today, Sandora has a dominant
share in the Ukrainian packaged juice and nectar market and exports its
products to Azerbaijan, Belarus, Kazakhstan, Moldova and other countries.
In addition to financing, IFC has been providing technical assistance to
the company in implementing HACCP food safety system and improving its
supply chain. The technical assistance is funded by donor governments of
Germany and Sweden.
“The agricultural sector is vital to Ukraine’s economic development.
Sandora’s success has set a positive example for other producers in the
sector and created jobs for Ukrainian farmers," said Elena Voloshisna,
Head of IFC Operations in Ukraine.
Jean-Paul Pinard, IFC’s Director of the Agribusiness Department said,
“IFC’s strategy is to support local market leaders in Ukraine’s agribusiness,
which follow international practices in environmental, occupation and health
management aspects of their operations and set a high standard for the
entire industry, promoting competition and growth. IFC is pleased to provide
additional financial support to Sandora, which will help the company expand
its product offering to Ukrainian consumers.”
“IFC’s second loan to Sandora demonstrates a strong foreign investor
interest in the Ukrainian agribusiness sector and concrete support for
its development” commented Serhiy Sypko, Director, Sandora Ltd.
Sandora Limited Liability Company is the leading manufacturer of branded
packaged juices and nectars in Ukraine. Located in Southern Ukraine, Sandora
produces a wide range of natural juices and nectars from locally grown
fruits and vegetables and imported concentrated juices under several well-established
brands. Sandora’s owners and management have capitalized on opportunities
offered by economic growth and increasing consumer nutritional awareness.
They have transformed the company from a small regional player into
a leading national branded juice producer.
The International Finance Corporation (IFC), the private sector arm of
the World Bank Group, promotes sustainable private sector investment in
developing and transition countries, helping to reduce poverty and improve
people’s lives. IFC finances private sector investments, mobilizes capital
in the international financial markets, helps clients improve social and
environmental sustainability, and provides technical assistance and advice
to governments and businesses. Its 178 member countries provide its share
capital and collectively determine its policies.
From its founding in 1956 through FY05, IFC has committed more than $49
billion of its own funds and arranged $24 billion in syndications for 3,319
companies in 140 developing countries. IFC’s worldwide committed portfolio
as of FY05 was $19.3 billion for its own account and $5.3 billion held
for participants in loan syndications. For more information, visit
Ukraine became a shareholder and a member of IFC in 1993. As of September
1, 2005, IFC has invested around $470 million in 22 projects. IFC expanded
its investment program in Ukraine significantly in 2004-2005, committing
$255 million in the agribusiness, financial, and general manufacturing
sectors. IFC has also been conducting an extensive advisory program since
1992, which initially focused on the privatization of small businesses,
land, and idle construction sites. Current donor-funded programs offer
advice on corporate governance, leasing, and agribusiness. Programs also
seek to improve the business environment and promote the growth of small
and medium enterprises.