NEFCO - NORDIC ENVIRONMENT FINANCE COPRORATION

About Organization...

NEFCO - Nordic Environment Finance Corporation - was established in 1990 by the five Scandinavian states - Denmark, Finland, Iceland, Norway and Sweden - with the view of rendering assistance to the realization of the financially sound projects, which promote improvement of the ecological situation in the countries of Central and Eastern Europe bordering on Scandinavia. The headquarters of the Fund are situated in Finland.
The Fund has experience in realizing investment projects in Russia (St.-Petersburg, Moscow, Kaliningrad, Snezhnogorsk, Kirovsk, etc.)

Priority states: northwest of Russia, Estonia, Latvia, Lithuania, Poland
Other countries of operations: Czechia, Slovakia, Hungary, Byelorussia, Ukraine

- Modernization of the industrial and energy-producing processes (investment in concrete industrial enterprises);
- Production of equipment for monitoring and prevention of the environmental pollution: cleansing, measuring, energy-saving (investment in the projects, which presuppose creation or development of such enterprises);
- Development of the nature protection infrastructure, e.g. control and recycling of wastes systems, water use, enterprise services (projects can have a mixed state-private structure; application must be submitted by the enterprise engaged in the described kinds of activity)
- Development of consulting and engineering services in the directions listed above (investment in consulting and engineering companies)

- Financing is granted to the projects with imply long-term Scandinavian participation.
- The project should exert a positive nature protection effect (Priority belongs to the projects that have a positive influence on the state of ecology of Scandinavia, i.e., resulting in reduction of pollution of the Baltic and Barents seas or decrease of pollution spread for significant distances by air. Projects of local nature protection importance with a strongly pronounced effect can also be considered.)
- The project should be consistent with regard to observance of the ecological, technical, institutional, economic and financial parameters, which should be verified by the applicable researches.

Investment in the share capital
Credit
Guarantees to the investors

Minimum investment: 125 000 EURO
Maximum investment: 3 000 000 EURO

The NEFCO investments usually amount to 25 %-35 % of the total value of the investment project. For the large-scale projects the share of the Fund will be lessened.
A representative of NEFCO sits on the board of directors of the enterprise that has received funding at least through the initial stage of the project's realization.
Ordinarily financing of the project is carried out using a mixed plan employing both venture capital and crediting.
NEFCO cannot act as the main investor of the project, and therefore it does not purchase controlling blocks of shares.
The means, provided by the Fund, can be spent on the stipulated purposes of the project only. The suppliers of the project should be selected on the tender basis. Enterprises of the following countries are allowed to participate in the bidding: Scandinavian states, Byelorussia, Czechia, Estonia, Hungary, Lithuania, Latvia, Poland, Russia, Slovakia and Ukraine.

1) Letter of inquiry with a brief characteristic of the suggested project
The contents requirements of the letter:
- Name of the Scandinavian partner;
- Country, in which the project will be realized
- List of the local participants of the project
- Category of the project (e.g. energy-saving, water consumption, etc.)
- Description of the expected positive effect of the project on the state of the environment
- Amount of financing required
- Accessible sources of financing
- Information about the results of the examination of the project's solidity (if the same were conducted)
2) Only on receiving a notice of the Fund's interest in realizing the project - Business-plan containing information on the ecological, market, industrial and financial competence of the project.

1) At first, the letter with a brief characteristic of the suggested project (see the previous section for the contents requirements of the letter) should be forwarded to NEFCO
2) Should there be an interest in financing the project, NEFCO will address the initiator of the project with the request to provide the preliminary materials: information about the financial solidity of the project and the survey of the prospective positive changes of the environment
3) On the basis of the provided materials, NEFCO will carry out an additional evaluation of the project's impact on the state of the environment and prepare a summary of the project, which will be submitted for consideration to the Fund's Board of Directors, who decide whether working on the project should continue or cease.
4) Should the project be approved, the initiator of the project is to conduct detailed investigations of the project's solidity, which must include the analysis of improvement of the state of the environment, possible positive and negative effects on it, the state of the market, characteristic of the industrial and technological processes, organizational plan of the project's realization, information about its financial solidity and profitability, etc.
5) The received documents undergo an examination in NEFCO
6) The completed project is considered by the Investment Committee and is passed on for approval to the Board of Directors of NEFCO
7) Should the project be approved, the parties stipulate conditions of NEFCO's participation in its realization, and the appropriate legal documents are signed.

Contact person: Jacob Klingemann, Senior Investment Manager
Address: NEFCO
NORDIC ENVIRONMENT FINANCE COPRORATION
Fabianinkatu 34, P.O. Box 249, FIN-00171, Helsinki, FINLAND
Phone: +358 9 18001 / 1800344
Fax: +358 9 630 976
E-mail: info@nefco.fi
Internet: http://www.nefco.fi/

Attention of investors: If your organization is interested in investing to Voronezh region enterprises, please contact us for placing your information in this section.