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EBRD boosts Kazakh beverage producer JSC RG Brands: $50 million loan to complete the construction of new plant

May 13, 2008
In its first direct financing for a Kazakh agribusiness company, the EBRD is providing a US$50 million loan to the local beverage producer, JSC RG Brands, for the completion of a new production plant with state-of-the-art production lines on the outskirts of Almaty.

The new plant will allow the company to save costs through economies of scale thanks to increased capacity in a single, purpose-built and fully automated facility. Capacity increases in the core product lines and better logistics will strengthen the potential for further growth. By moving production from downtown Almaty to the outskirts, the new plant will address congestion problems in Kazakhstan´s largest city.

JSC RG Brands was established in 1994 as a distributor of imported consumer goods. Gradually, the company started producing its own brands of soft drinks and tea in Almaty and obtained a bottling franchise from Pepsi in 1998. Today, JSC RG Brands is a fast growing company that has established itself as one of the leading enterprises in the beverages sector in Kazakhstan. It has a diversified product portfolio with a combination of strong local and international brands.

Andre Kuusvek, EBRD Director for Kazakhstan, said that the loan to JSC RG Brands showed the EBRD´s commitment to supporting the real economy in the country. “As demand for high-quality products is soaring, we are confident that the new plant will provide the company with the much-needed springboard to increase the volume and efficiency of its production”, he added.

Kairat Mazhibaev, Chairman of JSC RG Brands, expressed his appreciation for the EBRD support. “We understand this is an important vote of confidence not only in our company, but in the Kazakh food and beverage sector as a whole”, he said.

Since its establishment in 1991, the EBRD has signed more than 265 projects worth ?4.0 billion in the agribusiness sector alone.
Company — RG Brands
  • Full name
    RG Brands LLP
  • Industry
    Food industry