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Eurocapital SME Financing Partnership

Project number 12400-01
Country Chile
Sector Financial Institutions
Status Approved

Basic information

Company name
Eurocapital S.A.
Investment type Loan
E&S category
FI-3
Disclosed date
Projected board date
Approval date
Team Leader
Cristina Paredes

Financial Summary

Financing amount $ 15,000,000
Syndicated / Co-Financing Amount $ 10,000,000
Financing Currency
USD

Client
information

Client Contact name: Luis Pollarolo I.
Title: Manager of Administration and Finance
Phone number: (562) 2327 4000
email address: lpollarolo@eurocapital.cl

PROJECT
SCOPE
AND
OBJECTIVE

The proposed operation contemplates an A/B Unsecured Loan of up to US$25 million (the "Loan") to be financed by IDB Invest. The term of the Loan is one year, renewable four times more for periods of up to one (1) year, at the discretion of IDB Invest. Loan funds will be used to finance Small and Medium-Sized Enterprises ("SMEs") through factoring and financial leasing operations.

Environmental
and
Social
Review

  1. Scope of Environmental and Social (“E&S”) Review. This Project aims to support the credit activities that Eurocapital carries out with SMEs, financing factoring and financial leasing operations in Chile.
  2. E&S Categorization and Rationale. The transactions to be supported have a low risk potential. Therefore, per IDB Invest’s Environmental and Social Sustainability Policy, Eurocapital Capital has been categorized as FI-3.
  3. E&S Risks and Impacts. Eurocapital's financing operations are short term, so the company seeks to enforce compliance with local and international E&S regulations and regulations ratified by the Chilean state, and the exclusion list of IDB Invest. Eurocapital participated in the IDB Invest environmental workshop, and implemented an Environmental and Social Management System (“ESMS”) that seeks to reduce the credit risk of its loan portfolio through an assessment of the level of socio-environmental risk of its clients, applying the exclusion list of BID Invest, excluding clients that breach environmental and labor legislation, as well as those that present a high E&S risk.
  4. Contact Information. For project inquiries, including E&S questions related to an IDB Invest transaction, please contact the client (see Investment Summary tab), or IDB Invest using the email requestinformation@idbinvest.org. As a last resort, affected communities have access to the IDB Invest Independent Consultation and Investigation Mechanism by writing to mecanismo@iadb.org or  MICI@iadb.org, or calling +1(202) 623-3952.
For inquiries, comments and requests about the project

For inquiries, comments and requests about the project

Information Request