On September 11, the EBRD will consider the possibility of granting a €40M loan to the Ukrainian Kormotech Group for the construction of a second plant to produce pet food in Lithuania. The group’s holding companies, Vengast Investments Ltd (Cyprus) and its subsidiary Kormotech UAB (Lithuania), will be the direct recipients of the loan.
The project will support the group’s strategy of expanding its export operations and geographic diversification and will help strengthen staffing that has been difficult to maintain due to problems in Ukraine’s labor market in Ukraine. The total amount of the project is €63M.
Kormotech is Ukraine’s leader in the dog and cat food industry, and is also one of the 60 largest global animal nutrition manufacturers. In 2023, Kormotech’s turnover increased by 22.5% – to $152M. The ratio of sales abroad and in Ukraine in tons is now 31%-69%, respectively.