Two Beverage Companies In Paraguay Will Use An IIC Loan To Finance The Purchase Of Machinery For A Proprietary Bottling Plant
05/28/2007The US$4 million provided by the IIC will enable Bebidas del Paraguay S.A. and Distribuidora del Paraguay S.R.L. to increase production capacity and number of employees
Washington, D.C. – On May 29, 2007, the Inter-American Investment Corporation (IIC) approved a loan of up to US$4 million to Bebidas del Paraguay S.A. and Distribuidora del Paraguay S.R.L. These two related companies produce, distribute, and market carbonated beverages, mineral water, sports drinks, natural fruit juice, and beer. The loan proceeds will help finance the building and equipping of a proprietary bottling plant in San Antonio, some twelve kilometers from Asunción.
The new facility, which will include an effluent treatment plant, will increase Bebidas del Paraguay's annual production capacity from 11 million liters to 80 million liters and lead to a 63% increase in the number of direct and indirect jobs. Bebidas del Paraguay will also help the microenterprises that deliver its products obtain financing for purchasing larger-capacity trucks, thus increasing the profitability of these local businesses that are part of a service chain.
According to Hernando Lesme, the investment officer in charge of the operation, "By providing financing, the IIC has enabled the company to borrow long-term for the first time, with repayment terms that are appropriate for the investments to be made."
The Inter-American Investment Corporation is a multilateral financial institution that is a member of the Inter-American Development Bank (IDB) Group. It provides financing (in the form of equity investments, loans, guarantees, and other instruments) and advisory services to private enterprises in Latin America and the Caribbean. The IIC's mission is to promote the economic development of its regional member countries by encouraging the establishment, expansion, and modernization of private enterprises, particularly those that are small and medium in size. As of December 31, 2006, the IIC had approved US$36 million and disbursed US$31 million in Paraguay. For more information on the IIC's activities, please visit www.iic.int.
Contact: John Beckham/Hernando Lesme (in Paraguay)
Telephone: (202) 623-3984