EBRD loan for Croatian distributor Orbico

It is good news for Croatian distributor Orbico as the European Bank for Reconstruction and Development (EBRD) has announced plans for a €20 million loan to go towards expansion plans as well as improvements in efficiency. Croatia’s largest bank, Zagrebacka Banka, have also decided to match the loan from the EBRD.

The fast moving consumer goods industry in Croatia is currently led by Orbico and the loan will enable a bid for an 80% stake in Distribev, based in Poland, allowing expansion in the country. The loan will also be used to help restructure finances in Slovenia and improve efficiency in Bulgaria. Orbico is also the name of the largest holding company in central and south-eastern Europe employing 3,000 people in over 15 countries.

Orbico does have some major global partners but it is the smaller companies that are focused on as they boast a unique programme that helps smaller businesses to break into new markets. Orbico aids with marketing, customer services and logistics as it pushes companies into new regions; for example, they will be helping Distribev by supporting exports by both Croatia and Bosnia.

Owner of Orbico, Branko Roglic, has said “Intensive growth in the region requires a reliable partner, particularly when financing a new acquisition. Zagrebacka Banka, a member of the Unicredito Group, has supported us so far and we have developed a successful partnership, not only in Croatia but also in other countries where Orbico operates. The financing of the acquisition of Distribev, a Polish company and the distributor of Heineken on the Polish market, was supported by both the Zagrebacka Banka and the EBRD. We are very satisfied with our cooperation during the preparatory process and during the negotiations with both sides. We believe that it will be in our mutual interest to cooperate further in future.”

EBRD Director for Croatia, Vedrana Jelusic Kasic, said “The joint financing provided by the EBRD and Zagrebacka Banka will allow Orbico to enhance its international operations and strengthen its role as a bridge between corporates from the EU members countries and countries with ambition of joining the EU. The exchange of know-how, standards and expertise is an invaluable support in accessing the EU market. Thanks to Orbico’s strong links with local suppliers this will generate a strong impact.”

Member of the Board of Zagrebacka Banka, Marko Remenar, has said “It is of strategic interest to Zagrebacka Banka that we support our clients that are leaders in the Croatian economy, which excel in international competitiveness and have the know-how to take advantage of the large EU market. This step is important not only for Orbico but also for a wide range of Orbico’s partners to whom new markets have also opened. Hence, this is an important step for the wider Croatian economy. Zagrebacka Banka will continue to strongly support Croatian entrepreneurs and help them accomplish their international ambitions and their further growth on the EU markets.”

EBRD is no stranger to Croatia having already invested over €3 billion in 180 projects since the country’s independence.