Announcement of Investment in Durisol del Peru, S.A. in Peru on November 17, 1959

.NTERNATIONAL FINANCE CORPORATION 1818 H STREET, N.W., WASHINGTON 25, 0. C. TELEPHONE: EXECUTIVE3-6360 !'"RESS RELEASE NO. 3 7 For Release SUBJECT: Investment in A.Mo Newspapers Durisol del Peru, S.A. Tuesday, November 17, 1959 in Peru The International Finance Corporation (IFC) announced today a commitment to invest $300.,000 in Durisol del Peru, s.A., a new Peruvian company, being formed to manufacture DURISOL, a precast light-weight building material made of chemically treated vegetable fiber and cement, The enterprise is sponsored by a group of Peruvian industrialists and in- vestors. Dlrisol, A. G. of Zurich, Switzerland~ which developed and own the • DURISOL process, will be licensor and furnish teclutl,cal assistance and also be a shareholder in the company. The Durisol plant will be in Lima. Construction is expected to start in the next few months with prod-qction to begin by the end of 1960. Capacity will be about 630,000 square meters annually of,DURISOL products used for walls, par- titions, ceilings and roofs., DURISOL products have good acoustical and thermal properties, and strong resistance to decay, fire and tennitese The density of DURISOL material is about one-third that of ordinary clay brick and cement blocks. DURISOL materj.al possesses sufficient strength for a wide range of structural applications. The total cost of the project is estimated at approximately $800,000 of which $500,000 will be subscribed by the sponsors. IFC's investment of $300,000 will be in U.s. dollar Notes maturing by 1969 and bearing interest at 7% with ., additional interest, payable in Peruvian soles, contingent on earning~. In addition, IFC will receive a right to subscribe to shares of the company. IFC 1 s commitment is subject to completion of the neeess~y legal formalities. /