Since its inception in 1956, IFC has financed approx. 240 firms in the textile sector, representing a total investment of over US$1.4 billion. IFC's current active textiles portfolio stands at US$354 million, of which US$276 million consist of loan products. These investments span the fiber, fabric and apparel segments of the textiles value chain, in companies in East Asia, South Asia, Eastern Europe, Latin America and Africa.
Subsector Categories:
- Carpets
- Fabrics
- Leather
- Man-made Fibers
- Spun Yarn
- Stitched Products
- Textured Yarn
Examples of IFC investments:
- Dewan Salman (Pakistan): IFC provided a US$30 million loan and a US$5 million convertible loan financing to Dewan Salman, Pakistan’s largest polyester producer, to fund a specialty fiber expansion project. IFC’s financing helped the Company refinance and reduce costs on its outstanding local currency debt. To facilitate this debt restructuring, IFC subsequently converted its US$ loan facility to a guarantee facility for local lenders.
- Babei Silk Tie (China): IFC’s financing, which included a US$16 million investment in common and preferred shares and a US$6 million syndicated loan, helped China’s largest producer of high-end, jacquard-woven silk ties to expand operations, restructure its ownership and improve corporate governance and expand into new markets in silk furnishings fabric.
- Alexandria Fiber (Egypt): IFC provided a US$ 8 million loan to assist India’s Aditya Birla Group in setting up Egypt’s first acrylic fiber plant, taking advantage of Egypt’s competitive cost base, both to serve local demand and to establish a platform for exports to the Mediterranean rim markets.
