The European Bank for Reconstruction and Development (EBRD) has announced that it will provide a EUR 5 million working capital loan to Romanian steel mill Donalam Calarasi.
Donalam will use the two-year loan to finance its working capital needs, to fill liquidity gaps from expected lower sales in the coming months due to COVID-19 impact, as well as to address increased net working capital needs caused by payables volatility, the EBRD said on July 21. The project was approved on July 7 in the context of the bank’s response to the pandemic, the EBRD added.
Donalam was set up in 2006, after Italian group Beltrame bought the Siderca hot rolling mill in Calarasi. Donalam employs 270 and posted a turnover of EUR 78 million in 2019, as sales amounted to 106,000 tonnes.