IFC approves Gorenje package

Published: June 10, 2010

Slovenian manufacturer secures development funds.

The World Bank is investing up to €25mn of equity in the largest household appliance manufacturer in Southeast Europe.

Gorenje will restructure its business and fund a research and development programme examining environmental-friendly products and services.

The equity was provided by the World Bank’s IFC subsidiary, which has also approved a €50mn loan to the Slovenian company. The investment will help the business to modernise its operations and enhance its product range.

Gorenje’s chief executive and president, Franjo Bobinac, says the IFC will support the company’s long-term growth and that the funds will also be used for acquisitions.

IFC’s manufacturing director, Dimitris Tsitsiragos, adds that the organisation supports the company’s expansion and its focus on ecology and waste-management.

Gorenje has factories in Velenje in Slovenia, Valjevo and Stara Pazova in Serbia, and Mariánské Údolí in the Czech Republic.