Kazakhmys secures replacement pre-export finance debt facility
Natural resource group Kazakhmys has secured a one billion dollar pre-export finance debt facility, replacing an existing 2.1bn facility which is due to mature in February 2013.
Natural resource group Kazakhmys has secured a one billion dollar pre-export finance debt facility, replacing an existing 2.1bn facility which is due to mature in February 2013.
The new five-year debt facility and will provide additional liquidity during the development of copper projects at Bozshakol and Aktogay. It is to be used for general corporate purposes.
The facility has a one year availability period and principal repayments will then amortise over a three year period commencing from January 2015 until final maturity in December 2017.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The interest rate is at US$ LIBOR plus a margin of 2.80%.
The lenders in the transaction are Bank of China, Bank of Tokyo-Mitsubishi UFJ, Deutsche Bank AG, ICBC (London and Almaty), ING Bank, Natixis, Socit Gnrale, Sumitomo Mitsui Banking Corporation and UniCredit as the mandated lead arrangers and Bank of America Merrill Lynch, Citibank, Crdit Agricole CIB, JP Morgan and The Royal Bank of Scotland as arrangers. The agent is Deutsche Bank AG and the security trustee is ING Bank.
Matthew Hird, Chief Financial Officer of Kazakhmys, stated: "We are delighted to have completed this replacement debt facility and the competitive pricing reflects the strength of our business. The facility will provide financial flexibility as we invest in our major expansion projects during the next three years and is a helpful addition to our project specific loans."
Kazakhmys is based in Kazakhstan and is focused on copper production. Its share price was down 1.70% to 753.50p at 09:51 on Friday morning.
MF
Sign up to Money Morning
Our team, led by award winning editors, is dedicated to delivering you the top news, analysis, and guides to help you manage your money, grow your investments and build wealth.
-
How to invest in nuclear power
We need nuclear power to go green, says Dominic Frisby. But there is a better option than huge power stations
By Dominic Frisby Published
-
Chase slashes its easy-access savings rate – is it time to switch?
The Chase easy-access savings account has proved popular with savers thanks to its competitive rate and bonus deals. But, as the rate has dropped, has it lost its charm?
By Katie Williams Published