Russian Export Center’s US$30 million investment in Class “C” shares of the African Export-Import Bank


Herbert Smith Freehills has advised the Russian Export Center (REC), an institution with specific expertise in export transactions and procedures, on a strategic c.US$30 million investment (with additional c. US$45 million being a callable element) in Class “C” shares of the African Export-Import Bank (Afreximbank), a supranational trade finance bank.

The investment is designed to help the Russian Federation promote trade and increase cooperation with the African states. Specifically, through its participation in Afreximbank, REC intends to grant Russian exporters access to the expanded pool of structured trade finance facilities offered by Afreximbank. Afreximbank and REC have already started working on joint projects in a number of African countries, focusing mainly on infrastructure.

REC is a state-owned company established to support the development of the non-commodity exports industry/sector. REC is devoted to financing and supporting the Russian exporters exploring the foreign markets.

Afreximbank is a supranational trade finance bank headquartered in Cairo, Egypt. Afreximbank is devoted to financing and promoting intra- and extra-African trade. Since 1994, it has approved more than US$51 billion in credit facilities for African businesses, including about US$10.3 billion in 2016.

Herbert Smith Freehills has advised the Russian Export Center on the deal with a team led by partner Dmitry Gubarev (picture), senior associate Artjom Tamaev and associate Olga Stepanova.

Involved fees earner: Dmitry Gubarev – Herbert Smith Freehills; Artjom Tamaev – Herbert Smith Freehills; Olga Stepanova – Herbert Smith Freehills;

Law Firms: Herbert Smith Freehills;

Clients: Russian Export Center (REC);