The European Bank for Reconstruction and Development is putting up $22 million to back the next phase of growth at Spinneys Lebanon, the country's flagship supermarket operator. The package combines a $20.5 million senior loan with a $1.5 million co-investment grant, and benefits from a guarantee provided by the European Union under the EFSD+ program.
Funds flow through Spinneys Levant Limited, the parent company that operates Spinneys stores in Lebanon via its local subsidiary Gray Mackenzie Retail Lebanon (GMRL). The EBRD said the energy efficiency component would not be commercially viable without grant support, which is why the package was structured with a co-investment grant alongside the senior loan.
Where the Money Goes
Spinneys plans to use the financing to expand its store network in Lebanon, raise production capacity and roll out a fresh snack line. The deal also covers energy efficiency upgrades at existing outlets and at the new stores opening under the expansion plan.
On the climate side, the retailer expects the upgrades to cut its carbon dioxide emissions by close to 5,475 tonnes a year and deliver annual energy savings of more than 150,000 gigajoules. Spinneys is also targeting a 25 percent reduction in plastic bag use and plans to introduce fully recyclable shopping bags nationwide.
Training Built Into the Deal
Beyond the loan, the financing comes with a technical cooperation package from the EBRD. The training programs cover retail management, digital marketing, automation and AI-enabled operations, and are designed to build skills the Lebanese retail sector has struggled to retain since the start of the economic crisis.
Training also addresses environmental sustainability and waste reduction practices across Spinneys' day to day operations, which feeds into the broader sustainability commitments tied to the financing.
Lebanon Context
The deal lands as Lebanon continues to navigate a long stretch of economic and currency stress that has squeezed food retail margins, supply chains and consumer purchasing power. Private credit at this scale, with concessional features and EU guarantee support, is rare in the local market and shows that international development finance is still flowing into the country for projects that combine growth with sustainability outcomes.
Since opening operations in Lebanon, the EBRD has invested more than 864 million euros across several sectors of the local economy. The Spinneys package ranks among its larger Lebanon investments in food retail to date.
Spinneys - Gray Mackenzie Retail
