Financed ProjectsBM Leasing SME II

Identification Code:

OP/11/0836

Total Operation Cost:

0

Maturity:

60 months

Operation Status:

Description and Purpose of the Operation:

Term loan to BM Leasing AD (the "Borrower") for a second SME Leasing Facility. The proceeds of the Facility will be used by the Borrower exclusively for the purpose of financing lease transactions with beneficiaries that meet agreed lease transaction eligibility criteria. The Loan aims to support the Borrower to expand leasing operations with small and medium sized companies and entrepreneurs in Bulgaria.

Countries of Operation:

Bulgaria (100,00 %)

Financial Product:

SME's

Sector:

Financial Institutions

Domain:

Private

Borrower/Client:

BM Leasing is an existing client of BSTDB since 2008. The Borrower is specialized in SME leasing and has a growing presence in the developing Bulgarian market.

Co-Financiers/Participants:

Guarantors/Sponsors:

Emerging Europe Leasing and Finance (EELF) B.V., (the parent company) ultimately owned by Balkan Accession Fund.

Developmental and Regional Cooperation Impact:

Due to the Borrower's well-established market presence and strong support from its shareholders, the Facility will represent an excellent mechanism for BSTDB to extend medium term funding to numerous small and medium-sized enterprises in Bulgaria, which cannot be otherwise accessed by BSTDB directly. The financing is expected to increase economic activity, create employment and further stimulate export capacity and competitiveness.

Environmental Classification and Impact (summary):

According to the Bank's environmental screening the Operation has been assigned into the FI category. The previous experience with BM leasing in terms of EHS performance has been satisfactory. The Borrower has developed basic environmental procedures and has integrated them in its credit/investment appraisal and monitoring process, whileit has also appointed an investment officer in charge for EHS issues. The assessment of its portfolio shows that the Borrower is not engaged in financing activities which are in the BSTDB Negative List.

Operation Leader:

Financial Institutions I

E-mail:

fi1@bstdb.org