Company name
Latin America Kraft Investment, Inc.
Project number
14334-01
Category B projects have potential environmental and/or social impacts and risks that are less adverse than those of a Category A and which are generally limited to the project site, largely reversible and can be mitigated via measures that are readily available and feasible to implement in the context of the operation.
E&S category
B
Country
Regional
Sector
Manufacturing
Status
Proposed
Disclosed date
09/05/2024
Projected date at which a project will be put forward for the Board of Executive Directors’ approval.
Projected board date
12/06/2024
Approval date
12/02/2024
Signed date
12/06/2024
Sponsoring entity
N/A
Investment Operations Department Contact
Corporates Division
Investment type
Syndicated amount
USD $ 15,000,000
Financing amount
USD $ 20,000,000
Currency
USD
Project scope and objective
Latin America Kraft Investment, Inc. (“LAKI”), headquartered in Panama, is engaged in the design, prepress, production, and marketing of packaging materials made from a variety of materials. LAKI operates in Central America, Mexico, and the United States and is the holding company of Sigma Q.
This transaction consists of short-term working capital and supply chain financing (the “Project”) to support LAKI’s post-pandemic recovery and growth in six of its companies: Cajas y Empaques de Guatemala S.A., Compañía Centroamericana de Papeles y Cartones S.A., and Litografía Byron Zadik, S.A. in Guatemala; Cartonera Centroamericana S.A. de C.V. and Specialty Products S.A. de C.V. in El Salvador; and Cartonera Nacional S.A. in Honduras. These plants produce corrugated, folding carton, luxury packaging, and flexible packaging.
The financing of up to US$20 million consists of a committed revolving loan of up to US$15 million and an uncommitted revolving reverse factoring facility of up to US$5 million. These funds will be used to finance (i) working capital needs and support the importation of goods; and (ii) the financing of LAKI’s MSME suppliers through the discounting or monetization of their receivables from the sale of goods and/or services, respectively.
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Contact information
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Request informationAlternatively, you may also use the following contact information :
Client Contact
atorres@sigmaq.com
PHONE NUMBER
n.a
POST OFFICE ADDRESS
IDB Invest Contact
requestinformation@idbinvest.org
PHONE
+1(202)-566-4566
ADDRESS
1350 New York Ave NW, Washington, DC 20005
COUNTRY OFFICES
IDB Invest Country OfficesIndividuals or communities can submit complaints and concerns related to environmental, social, or corporate governance issues to the Management Grievance Mechanism by e-mailing mgm@iadb.org or by calling +1 202 312 4040.
As a last resort, affected communities have access to the IDB Invest Independent Consultation and Investigation Mechanism by writing to mecanismo@iadb.org or MICI@iadb.org or calling +1(202) 623-3952.
IDB Invest has zero tolerance to reprisal or retaliation against anybody who voices its opinion or opposition to IDB Invest-financed projects.
For inquiries, comments and information requests about the project
Request informationLearn more about how we provide private-sector solutions in the region .
Environmental and social review
IDB Invest conducts an environmental and social due diligence (ESDD) commensurate with the nature, scale, and stage of the project, and with its level of environmental and social risks and impacts. The ESDD will confirm the project E&S categorization and assess the project with respect to the client requirements in IDB Invest Environmental and Social Sustainability Policy. The results of the ESDD, including any identified gaps are described in the Environmental and Social Review Summary (ESRS) provided below. For projects approved as of 2016, any gaps with respect to IDB Invest's Environmental and Social Sustainability Policy at the time of the ESDD are addressed in the Environmental and Social Action Plan (ESAP) presented below, to comply with the date mentioned above.
LAKI - ENVIROMENTAL AND SOCIAL ACTION PLAN (ESAP)
133.1 Kb
LAKI - ENVIRONMENTAL AND SOCIAL REVIEW SUMMARY (ESRS)
215.0 Kb