It was stated at the press-conference on February 1 that the European Bank for Reconstruction and Development (EBRD) entered into the team of stockholders of Garadagh Cement JV on the base of the agreement signed between the sides, Trend reports. The EBRD will invest $10 mln to receive 10% shares of the enterprise.
Our key goal is to assist the Government in realizing the programs on the development of the non-oil sector in Azerbaijan. Purchasing the shares of the large enterprise such as Garadagh Cement, we hope to assist in expanding the production in the country and become an example for other investors in attracting them in allocation finances for the non-oil sector of Azerbaijan, said Michael Davie, Director of the EBRD for Caucasus, Moldavia and Belarus.
Today event is the result of the 7-month negotiation between the Government of Azerbaijan, Garadagh Cement and EBRD. This agreement is a new stage for Azerbaijan. The positive fact is that signing the agreement will provide an opportunity for the co-operation of Azerbaijan Investment Company with Holcim Group on the base of the equal rights and conditions, the Azerbaijani Minister of Economic Development, Heydar Babayev, said.
The General Manager of Holcim Group for CIS and Baltic countries, Gareth Babbs, spoke about the key indicators of the Company production over the past years, adding that 37% of the revenues in 2005 fall on to the share of the European region, including Azerbaijan. For the reported period, successful agreements have been concluded with India, China, USA and other countries. Presently the number of the Company employees exceeds 100,000 people.
Azerbaijan is very significant market for us and we intend to expand the cement production in the country, Gareth Babbs said. The investments provided by the EBRD will be used to ensure the conformity with the European standards on environmental protection and to improve the equipment of the enterprise.