Croatia’s Koncar in Talks with Commercial Banks, HBOR To Co-fund Wind Farm Project – Media

ZAGREB (Croatia), July 15 (SeeNews) – Croatian electrical equipment producer Koncar Elektroindustrija is in talks with commercial lenders and the Croatian Bank for Reconstruction and Development (HBOR) to partially loan-finance a 200 million kuna ($35.4 million/27.7 million euro) wind farm project, local media reported.

Koncar will contribute 41.42% of the funding for its Pometeno Brdo wind park, enough to cover the first phase of the project, and will seek to borrow the remainder for the second phase, business news portal Bankamagazine (www.bankamagazine.hr) reported on Wednesday, quoting Koncar board member Davor Mladina.

“We are in talks with commercial banks and with HBOR. We have received relatively acceptable offers, but the problem is defining the loan maturity. All the offers we got are mainly for five years [maturity], while we are seeking a ten-year loan,” Mladina told Bankamagazine.

The complicated project will involve 14 companies from Koncar Group and around ten other Croatian companies, Bankamagazine added.

Earlier this year, the Croatian Chamber of Economy said investment in the country's renewable energy sector is expected to top 3.0 billion euro ($3.9 billion) by 2020.

Koncar shares, part of 25-share benchmark CROBEX index of the Zagreb bourse, were not traded by 1245 GMT on Thursday. They closed unchanged at 440 kuna on Wednesday.

(1 euro = 7.2128 Croatian kuna)

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