Announcement of Investment in Peru on January 31, 1962

HOLD FOR RELEASE 'l INTERNATIONAL FINANCE C O R PO RA 1 0 N t~· 818 H STREET, N.W., WASHINGTON 25, 0. C. TELEPHONE: EXECUTIVE 3-6360 IFC Press Release No. 62/1 SUBJECT: Investment in Peru For Release AM Newspapers Wednesday, January 31, 1962 The International Finance corporatlon ( IFC) announced today the completion of financial arrangements for an investment of $2.4 million in Cem.ento Andino S.A., of Peru. These and a.dd:Ltional investment funds will enable the company to undertake an expansion and improvement of its manufacturing operations at a cost of approximately $3.4 million. The principal security-holc.l~rs in Cemento Andino are a Peruvian group headed by the Rizo Patron family. North American shareholders and debenture- • holders in the company a.re represented by the investment banking houses of Lehman Brothers and Lazard Freres & Co. The IFC investment of $2.4 million will be represented by unsecured notes bearing 7-1/2% interest, payable in dollars, ;and maturing between 1968 and 1973. IFC will also receive the right to subscribe to shares of the company's common stock. Cemento Andino will expand its operations to more than double its present capacity of 250 tons a day and it will also produce special types of cement Ir not now manufactured in Peru. The cement plant is located. in the Andes at an altitude of 13,000 feet, approximately 120 miles east of Lima • •