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
-
Most expensive street in Britain to buy on has houses with '£10m average asking price', Rightmove findsNews Rightmove found Buckingham Gate, close to Buckingham Palace, was the most expensive street in the country. Do you live near one that's been included on the list?
-
Smaller companies: starting to turn?The long-awaited turnaround in smaller companies is unlikely to happen just because shares are lowly-valued. However, an improving economic and interest rate backdrop could spark renewed interest in the sector. M&A activity is also providing support for the smaller companies sector
