IFC and EBRD in €200 Million Investment in Dalkia Eastern Europe

June 27, 2011

Cleary Gottlieb advised International Finance Corporation and European Bank for Reconstruction and Development in their respective investments in shares and warrants of Dalkia Eastern Europe for a global committed amount of €200 million. The transaction closed on June 27.

IFC, the private sector arm of the World Bank Group, is the largest multilateral provider of financial services for private enterprise in developing countries. IFC provides loans, equity, structured finance and risk management products, and advisory services to build the private sector in developing countries.

EBRD has become the largest financial investor in its region of operations which stretches from central Europe and the western Balkans to central Asia and helps the countries in these regions to become open, market economies. EBRD is owned by 61 countries, the European Union and the European Investment Bank.

Dalkia Eastern Europe is a subsidiary of Dalkia, a leading international owner and operator of district heating assets in the world. Dalkia is 66% owned by Veolia Environment and 34% owned by EDF. This investment uses existing investments in district heating in the Baltic States as a platform, for expansion into district heating ventures in Russia, Ukraine and other CIS countries and directly addresses water conservation, energy efficiency and environmental improvement.