The Overseas Private Investment Corporation (Opic) is providing a US$10mn loan guarantee to a US-owned company for the expansion of its equipment leasing operations in the Russian Far East and Siberia.


DeltaLeasing, an equipment leasing company serving primarily small and medium-sized businesses in the region, will use the financing to purchase new and used equipment and vehicles for leasing transactions. DeltaLeasing is owned entirely by the US-Russia Investment Fund, and is presently the only leasing company based in Siberia and the Russian Far East that enjoys consistent access to international capital markets.


The project will enable DeltaLeasing to expand its investment portfolio, while increasing access for small and medium-sized Russian businesses to relatively long-term capital that will be offered for terms up to five years and for equipment valued between US$20,000 and US$2,500,000.


The project is also fruit of Opic’s partnership with small business lender WorldBusiness Capital (WBC), as Opic’s guarantee is supporting a WBC loan to DeltaLeasing.


According to a 2003 agreement designed to expand Opic’s support for US small businesses investing overseas, Opic provides loan guarantees for WBC projects pursuant to a risk-sharing arrangement. WBC makes loans with its own funds, and monitors and services each loan.


Brett Silvers, WorldBusiness Capital’s CEO, states that: “Opic’s support for our loan to DeltaLeasing in Russia, which is a core market for WBC, shows its strong commitment to helping US small businesses expand overseas. The loan will have a beneficial impact on SMEs located in the Russian Far East and Siberia, which is an underserved sector of the Russian economy.”


WorldBusiness Capital (WBC) is a commercial finance company specialising in loans to help small and medium sized businesses compete in international emerging markets. The company is based in Hartford, Connecticut.