28 November 2013
The lawyers of Egorov Puginsky Afanasiev & Partners represented the interests of EBRD on financing Stadler Rail Group's investment in Belarus’ rolling stock manufacturing sector

The Minsk Office of Egorov Puginsky Afanasiev & Partners (the Firm) provided legal support of the deal which increased the loan amount by EBRD up to EUR 20 million for the OJSC Stadler Minsk.

The signing of documents took place at the Firm's offices with the participation of the shareholders' representatives.

OJSC Stadler Minsk is a joint venture formed by Switzerland’s family-owned Stadler, a world market leader in the manufacture of rail rolling stock, and the Minsk Region Executive Committee as a minority shareholder. This project marks the first investment by a western sponsor in the construction and operation of modern rolling stock manufacturing facilities in Belarus.

With the help of such investment Stadler plans to establish a foothold in the CIS market. The transaction gives the Swiss group access to the rolling stock market for broad gauge railways in northern Europe, whilst Belarusian producers will boost export opportunities for their products.

EBRD’s funds will be used to build a modern facility for manufacturing suburban and interregional passenger trains, as well as trams, at a greenfield site.

Within the framework of the project the lawyers of the Minsk law office have carried out an extensive part of the work on the loan agreement and a package of security documents, in particular, guarantee, share retention and support agreement, share pledge agreements with the borrower's shareholders as well as exercised the legal due diligence of the borrower.

The interests of the client were represented by the team of lawyers under the supervision of the Managing Partner Dennis Turovets (Minsk) and Senior Associate Igor Odinets.