Macedonian processor expands
loan from the EBRD to extend its production facilities and enable
it to work alongside Greek food group Filippou.
The EBRD is lending the baked goods producer the funds to help it expand, refurbish existing outlets across the country and become more efficient. The loan is the Bank's first to a private company in the agribusiness sector in the country.
The eight-year loan is being provided under a new €25 million EBRD facility to work alongside companies linked to Greece's Filippou Investments Group, an international food and packaging company that has initiated and expanded a number of existing operations in south east Europe.
The loan to Zitoluks, a subsidiary of Elbisco Holding, which is part of the Filippou group, is the first under the facility. It will also help improve corporate governance standards across Zitoluks and increase efficieny through improved technology, marketing and production standards.
Hans Christian Jacobsen, director of agribusiness at the EBRD, said the project should establish a good basis for cooperation between Filippou Investments as a strategic investor and the EBRD as an institution that wants to promote private-sector growth in its region of operations within the food industry. As well as benefitting FYR Macedonia's food sector through improved competition, the project will lead to an increase in demand of local raw material from suppliers, Jacobsen added.
Kyriakos Filippou, president of Elbisco, said: "Our group is a Greek group of companies with dynamic growth both in domestic and foreign markets. Our goal is to further strengthen the role of our companies abroad, so that they may contribute more substantially to our strategy for success. With the support of our new partner - the EBRD - we can carry out the investments in Zitoluks and grow our operations in FYR Macedonia."
Elbisco, consolidates controlling stakes in four Greek companies, as well as three companies abroad, including Zitoluks, Helberica in Spain and Karat in Bulgaria, and minority stakes in several other food and packaging companies. The loan to Zitoluks is part of the group's strategy to strengthen its recently acquired businesses in FYR Macedonia. Elbisco is also currently listed on the Athens Stock Exchange.
