The Glaverbel Group recently raised its stake in Bor Glassworks from 44% to 83%. Bor Glassworks is the largest glass producer in Russia, based in the Nizhny Novgorod region. The operation was carried …
The Glaverbel Group recently raised its stake in Bor Glassworks from 44% to 83%. Bor Glassworks is the largest glass producer in Russia, based in the Nizhny Novgorod region. The operation was carried out through the acquisition of 849,064 ordinary shares in Bor Glassworks held by the European Bank for Reconstruction and Development (EBRD) and the same number of ordinary shares held by the International Finance Corporation (IFC, a member of the World Bank Group). In late 1997 Glaverbel became the first western glass producer to invest in Russia, by acquiring a 25% stake in Bor Glassworks. In order to spread the risk of the investment, Glaverbel carried out this operation at the head of a consortium of investors including the EBRD and IFC, which ultimately controlled more than 75% of Bor Glassworks. Since then, in parallel with the increase in its stake in Bor Glassworks, the Glaverbel Group says it has launched a vast programme of modernisation of the Bor organisation and production facilities, investing more than USD 100 million. This latest move by Glaverbel reinforces the group“s position as the largest flat glass producer on the emerging markets of central and eastern Europe.