This summary covers guarantees for Tapon France S.A.S (“Tapon’s”) investments in the construction of a new aluminum beverage can production facility in the city of Volokolamsk. Tapon’s investments include equity investment in the amount of $38 million, shareholder loans in the amount of $49 million and $3 million for the use of a trademark pursuant to a Trademark Agreement. Tapon has applied for MIGA guarantees of up to $83.45 million against the risks of transfer restriction, expropriation, and war and civil disturbance. The proposed guarantee period for the shareholder loans and the equity investment would be seven and 15 years, respectively.
The project is a Category B under MIGA’s environmental review procedures. Click here to view the Environmental and Social Review Summary and the Environmental Impace Assessment in English and Russian.
The project will increase competition in the Russian beverage can production business segment and improve production process efficiencies and product quality, by bringing in managerial practices which are competitive at the international level. The production capacity for the new facility is expected to reach approximately 1 billion cans per year.
MIGA’s proposed guarantee for this investment is consistent with the first pillar of the World Bank Group’s Country Partnership Strategy for Russia which focuses on sustaining rapid economic growth.