EBRD Supports Egyptian Company Beyti With $44 Mln Loan
The European Bank for Reconstruction & Development (EBRD) announced Wednesday a $44 million loan for the Egyptian dairy and juice producer, Beyti. The money will enable the company to refinance existing short-term loans with a longer tenor loan more suitable for its investment and development phase.
The EBRD loan will also help the Egyptian company expand its production and logistical capacities to cope with the rapidly growing national and regional dairy and juice sectors.
Beyti aims to reduce its carbon footprint with more efficient use of water and energy and the deployment of renewable energy sources. Plans include shifting to the use of solar energy and improving wastewater treatment, which in turn reduces carbon emissions.
The Egyptian company is working on enhancing corporate standards and business conduct by promoting equal opportunity policies and practices, which in turn will contribute to increasing women’s participation in the workforce.
The EBRD’s investment will also support market expansion of the dairy and juice sectors in Egypt by strengthening backward and forward linkages.
This includes increasing production of raw milk and fruit concentrate at local dairy farms and juice concentrate producers, and expanding Beyti’s logistical capacity in both sectors by increasing the number of distribution centers and delivery capacity, hence achieving a higher number of sales points in the country.
Beyti is one of the largest producers of milk, juice and yoghurt in Egypt, targeting a rapidly rising population market of more than 90 million consumers and catering to different consumer profiles. The market size makes the development and further expansion of the Egyptian agribusiness sector crucial.
Since 2012, EBRD has invested over €4 billion in 85 projects in Egypt. The Bank has also provided technical assistance to more than 700 small and medium-sized local enterprises.