| Project Detail |
This project was approved in the context of the Banks response to the COVID-19 pandemic. To avoid delays to the delivery of this project, the Banks President granted a deviation from the ordinary timelines for PSD disclosure, as contemplated by Section V of the Directive on Access to Information. Details of the Banks response to COVID-19, and this deviation, can be found on our website. Provision of a USD 2.8 million senior secured loan to finance the acquisition of a third production line for the manufacturing of single-use medical gloves (the project) by JV Healthline LLC (the company, Healthline). The project is in response to the increased demand for medical personal protective equipment (PPE) due to the COVID-19 pandemic. Healthline has been an existing client of the EBRD since November 2019. The initial project involved the establishment of a medical glove production facility with two production lines to which the EBRD provided debt financing of USD 9.2 million. To respond to the increased demand for PPE, Healthline decided to install a third production line under the project which will increase the production capacity of disposable medical gloves. Project Objectives The project is part of the companys strategy to expand its existing product range and establish a new production plant for the manufacturing of disposable medical gloves (surgical and examination gloves). The proposed addition (third manufacturing line) will capitalise on the existing infrastructure and enable it to leverage on economies of scale improving its operational efficiencies as well as its bargaining power with suppliers and clients. The proceeds of the EBRD loan (USD 2.8 million) will be directed to acquire the manufacturing line of disposable medical gloves. |
