Titan gets EBRD funds for Albania cement plant
TIRANA, Nov 21 (Reuters) - Greek cement maker Titan (TTNr.AT) will get 58.8 million euros in debt and equity funding from the European Bank for Reconstruction and Development (EBRD) and the World Bank to part-fund construction of a plant in Albania.
The EBRD said on Friday that it and the World Bank's International Finance Corporation (IFC) would each take a stake of 20 percent in Titan's Albanian subsidiary, Antea Cement, for 12.6 million euros, and extend Titan a loan of 16.8 million.
The plant, costing 170 million euros ($233 million), will be sited north of the capital Tirana and have annual capacity of 1.5 million tonnes of blended cement.
Claudio Viezzoli, the EBRD director for the Western Balkans, said one of Albania's big challenges is attracting foreign money, "and this project should clearly demonstrate to investors the possibilities of working successfully (there).
Italian and Spanish firms are also building cement factories in the same area in investments estimated at 1 billion euros, raising concerns among local environmentalists.
The Albanian market has been experiencing a building boom, and the Antea plant could export part of its production to Albania's neighbours Montenegro and Kosovo.
"The plant will help meet the country's increasing demand for cement, about half of which is currently met through imports. Cement exports by Antea would help to strengthen commercial links with neighbouring countries," the EBRD said.
(Reporting by Benet Koleka, editing by John Stonestreet)
