Azerbaijan Investment Company (AIC) JSC and EBRD (European Bank for Reconstruction and Development) agreed to take a decision on financing a project of Milk Pro LC on the construction of a new dairy factory in Baku and reconstruction of the existing one in Goychay till the end of the first quarter of 2007.
Anar Akhundov, the Executive Director of AIC, exclusively informed Trend that last week AIC exchanged information with the EBRD delegation. The major aim of the visit of the EBRD experts to Baku was to determine the structure of investments to the projects.
According to Mr. Akhundov, the negotiations held have become the basis for preparing an agreement on the joint participation in the project. The total investments to the project is estimated at $10,5 mln.. Part of them will be put as the joint-stock participation to Milk Pro, the other one вЂ" EBRD credit investments.
Some funds will be spent on the reconstruction of the existing dairy factory in Goychay.
According to the memorandum on the possibility of financing of the above-mentioned project, which was signed between AIC and Milk-Pro at the end of 2006, AIC stake in the authorized capital of Milk-Pro will reach at least 20%, however Mr. Akhundov rejected to sound EBRD participation stake.
The AIC final decision on investments to Milk-Pro is expected to be taken during the Supervisory Board of AIC, and the EBRD вЂ" during the next Meeting of the Board of the bank within the first quarter of 2007.