Washington, D.C., November 8, 2001
—The International Finance Corporation will invest up to US$20.5 million in Continental Carbon India Limited (CCIL) to support the growth of the carbon black industry in India. Carbon black is used as a reinforcement for rubber, primarily to produce tires, hoses, belting, mechanical, and molded goods. IFC’s financing will be used to expand production, improve environmental conditions at the plant, and help the company become globally competitive.
Rashad Kaldany, director of IFC’s Oil, Gas and Chemicals department said, “IFC’s involvement in providing financing as well as its technical and environmental expertise to help CCIL achieve international standards should serve as a model for similar transactions in the future.”
IFC is providing a $9 million long-term loan for its own account and has mobilized an additional $11.5 million in syndicated loans from Raiffeisen Zentralbank Oesterreich, Bayerische Hypo- und Vereinsbank AG, and BNP/Paribas.
CCIL is a wholly-owned subsidiary of the US-based Continental Carbon Company of Houston, Texas, one of the world’s leading carbon black producers and technology providers involved in research, development, and manufacturing of various furnace grade carbon black products. CCIL was created by a spin-off of the carbon black division of Oriental Carbon and Chemicals Limited, located in Ghaziabad, in the state of Uttar Pradesh, near New Delhi.
IFC’s mission is to promote sustainable private sector investment in developing countries, helping to reduce poverty and improve people's lives. IFC finances private sector investments in the developing world, mobilizes capital in the international financial markets, and provides technical assistance and advice to governments and businesses. Since its founding in 1956, IFC has committed more than $31 billion of its own funds and arranged $20 billion in syndications for 2,636 companies in 140 developing countries. IFC’s committed portfolio at the end of FY01 was $14.3 billion.
