€4 million financing for Serbian Galeb Metal Pack

MachinesNewsSouth-East European INDUSTRIAL Мarket - issue 3/2011

EBRD is supporting the further development of Galeb Metal Pack (GMP), a leading producer of metal packaging in the Western Balkans, with a €4 million financing facility, including debt and equity, to help the company to improve its competitiveness on EU markets. Through this project the EBRD is acquiring a ten percent stake in GMP. GMP, part of Galeb Group, is the leading light metal packaging manufacturer in Serbia and in the wider region. It produces crown corks, aluminium screw caps, drawn cans and aerosol packaging used in the beverage, food packaging and pharmaceutical industries, servicing such customers as Coca-cola, Heineken, Carlsberg and many others.
The investment will be used to finance the purchase of new equipment for the manufacturing of new type of closures currently not produced in Serbia, the construction of a new high rack warehouse that will enable GMP to better monitor its stock levels and to make the production cycle more efficient. The funds will also help the company to improve its balance sheet.
“The agreement with the EBRD will enable us to finance our future development and to increase exports to foreign partners up to 70 percent. This is a very important day for us, having a wide open door towards western and eastern markets which is in line with our forecasts. Its up to us now to prove the name of the most promising light metal packaging manufacturer in South-Eastern Europe which has been given to us by experts in this field”, said Radoslav Veselinovic, President of Galeb Group company.