The European Bank for Reconstruction and Development (EBRD), in collaboration with the ILX Fund, has committed €40 million to support Kormotech, a leading Ukrainian pet food manufacturer, in establishing a second production facility in Lithuania. This initiative is part of a €63 million project aimed at enhancing Kormotech's export capabilities and geographic reach. The financing structure includes a syndicated A/B facility, with the EBRD and the Dutch-based ILX Fund each contributing €20 million. This marks a continued partnership between the EBRD and Kormotech, following a previous €15 million investment in 2020 for the company's first Lithuanian plant, operational since June of that year. Established in 2003, Kormotech has rapidly ascended to become one of Ukraine's top three pet food producers, specializing in high-quality products for cats and dogs. The company's strategic focus on exports and geographic diversification has been instrumental in mitigating the economic challenges posed by the ongoing conflict in Ukraine. The new Lithuanian facility is expected to bolster Kormotech's human resources and skills development, particularly by creating employment and training opportunities for women, veterans, and other underserved groups. Additionally, the project aims to enhance the company's energy efficiency, aligning with broader sustainability goals. Supporting this venture, the Japan-EBRD Cooperation Fund has provided grants to partially cover external legal expenses. Further grant funding will assist in procuring workplace equipment, facilitating livelihood opportunities for women and individuals with disabilities through the EBRD's Human Capital Investment Incentive Programme. The loan is directed to Kormotech's holding company, Vengast Investments Ltd (Cyprus), and its Lithuanian subsidiary, Kormotech UAB. As the largest international financial investor in Ukraine, the EBRD has allocated €5 billion to the Ukrainian economy since the onset of the war in 2022 and has secured a €4 billion capital increase to maintain elevated lending levels during the conflict, with plans to intensify efforts during the reconstruction phase.