Cairo - Mubasher: The European Bank for Reconstruction and Development (EBRD) is extending an EGP 1.30 billion (EUR 23.10 million) loan to Ibnsina Pharma to finance green capital expenditure for a new warehouse and related long-term working capital.
The loan will support the development of a new warehouse designed to achieve at least an ‘EDGE Standard’ green building rating, according to a press release.
Once completed, the project is expected to cut carbon emissions by 207 tons annually and reduce water consumption by 16,905 cubic meters per year.
Moreover, the EBRD will provide technical advisory services, including an energy audit and recommendations to enhance the building’s resource efficiency.
Beyond its environmental impact, the investment will strengthen Ibnsina Pharma’s competitiveness as part of a broader network optimization and expansion plan that includes up to 12 new warehouses.
The expansion aims to increase operational capacity in response to strong sales growth and revenue diversification.
Greg Guyett, EBRD First Vice President, said: “This financing will contribute to the country’s green transition and bolster the company’s competitiveness, establishing it as a robust actor in a strategic industry.”
From his part, Mohsen Mahgoub, Managing Director of Ibnsina Pharma, stated: “This agreement marks a pivotal moment for Ibnsina Pharma. We were not simply looking for a lender; we were looking for a strategic partner that supports us to ‘level up’ our operations to meet global benchmarks.”
“We view this facility as an international Quality Seal. Passing the EBRD’s rigorous due diligence validates our governance, transparency, and operational standards to our stakeholders,” Mahgoub added.
He emphasized: “It signals to investors and partners that we are an institutionalized, safe counterparty, fully equipped to execute our green infrastructure goals and drive sustainable value."
The loan builds on the EBRD’s long-standing relationship with Ibnsina Pharma, which began in 2015 with a 20% equity investment to support supply chain expansion and concluded with a full exit earlier this year after a decade of growth.
It is worth noting that Egypt was the EBRD’s largest recipient of investment in the SEMED region in 2024, with nearly EUR1.50 billion committed across 26 projects, half of which were green.
