The loan has a maturity of seven years, with semi-annual instalments starting month 24 following the first utilization.
Alro program focuses on increasing the efficiency of its operations, reducing energy dependency and improving overall competiveness.
“Black Sea Trade and Development Bank aims to continue its support to member countries in the current globally lower growth environment. In line with the Bank’s strategy to increase portfolio in Romania, we are pleased to help Alro, a major manufacturer and employer, in implementing its ambitious investment program in challenging times. Our financing will help Alro to grow its value -added production capacity while increasing energy efficiency and sustaining environmental compliance, said Ihsan Ugur Delikanli, BSTDB President.
Thus, Alro will reduce the energy dependency, by increasing the Eco Cast House scrap processing capacity. The company will also improve competiveness, by extending the quality of the products and reducing the delivery terms. The investment program will also focus on ensuring the safety and the continuity of the technological processes in Alro.
The company guarantees the loan with one or more immovable assets, movable mortgages, mortgages on the rights and receivables from insurance policies covering the company’s assets and concluded in relation with the goods that are object of the guarantees created, as well as mortgage on all the shares of Alum owned by Alro and all the shares of Conef SA owned by Alro.
Alro is a unit of Dutch-held Vimetco, which has operations in Romania, China and Sierra Leone. The company owns nearly 84.2% of Alro’s capital, while Fondul Proprietatea owns 10.21%.