Alumil SA, the largest aluminum-extrusion company in Greece, is receiving a €20mn long-term corporate loan provided by the Black Sea Trade and Development Bank (BSTDB). The capital-expenditure programme of Alumil involves investments in new equipment and industrial sites in Greece, Albania, Macedonia, Serbia, Romania and Bulgaria, which will result in significant improvement of Alumil’s competitive position in the Balkans and Black Sea markets. The maturity of the loan is up to six years. Alumil foresees significant economies of scale deriving in its functional, investment and financial operations from the BSTDB loan. Furthermore, cost reduction is anticipated due to favorable loan terms and long term external financing is moving at a higher level than short-term.
With the loan to Alumil, BSTDB has now approved a total of €75mn to Greek industrial companies for regional expansion and investments in Southeastern Europe and the greater Black Sea Region. Greek companies are also the main beneficiaries of the €1.3mn Euro Technical Assistance Fund provided by Greece and managed by the bank.
BSTDB is an international financial institution established by Albania, Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Romania, Russia, Turkey, and Ukraine. The BSTDB headquarters is in Thessaloniki, Greece. With an authorised capital of SDR1bn (US$1.4bn), the bank supports economic development and regional cooperation by providing financing, guarantees, and equity for projects supporting both public and private enterprises in its member countries. Since the commencement of operations in 1999, BSTDB’s board of directors has approved more than 50 projects and trade finance operations totaling over US$500mn.