MMC Norilsk Nickel (MNOD)
MMC Norilsk Nickel: NORNICKEL SIGNED A SYNDICATED LOAN FACILITY AGREEMENT
FOR UP TO USD 4,150 MILLION
25-Feb-2020 / 16:30 MSK
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PRESS RELEASE
25 February 2020
Public Joint Stock Company "Mining and Metallurgical Company "NORILSK
NICKEL" (PJSC "MMC "Norilsk Nickel", "Nornickel" or the "Company")
NORNICKEL SIGNED A SYNDICATED LOAN FACILITY AGREEMENT FOR UP TO USD 4,150
MILLION
Moscow - On 20th of February 2020 PJSC MMC Norilsk Nickel signed an
agreement to amend the terms and conditions of the existing syndicated loan
facility signed in December 2017 with a group of international banks in the
amount of USD 2,500 million, increasing the funding limit to USD 4,150
million, while reducing the interest rate and significantly increasing the
loan maturity.
Taking advantage of the prevailing favorable market conditions, the company
achieved advantageous terms for its syndicated loan, which generated
significant demand from a number of American, European and Asian banks.
The funds will be used by Nornickel during the availability period until the
4th quarter of 2020 to refinance the company's current debt, as well as to
finance capital expenditure and for general corporate purposes.
Sergey Malyshev, a Senior Vice President and Chief Financial Officer of
Nornickel commented: "The new syndicated facility will allow to continue
further optimization of the company's debt portfolio by eliminating
refinancing risk and lowering the average cost of funds. One of the
advantages of this loan is a structure consisting of several tranches, which
allows refinancing of the existing USD 2.5 billion of debt and provides a
guaranteed source of competitive funding to repay Norilsk Nickel's debt,
including the issue of Eurobonds due in October 2020 and the financing of
the company's investment program.
This transaction is notable due to a number of parameters achieved by the
company: Libor 1M + 1.40% per annum is a record low interest rate for
Russian corporates in the international syndicated loan market, a record
size of the deal and tenor".
Maarten Koning, a Global Head Structured Commodities Finance of ING Bank
N.V., which acted as the Coordinator and Documentation Agent, added: "This
transaction is exceptional by size for unsecured syndicated loans in the
Metals & Mining sector in Russia and the CIS, and is also one of the leading
facilities in terms of total tenor and the diversification of participating
lenders' group".
Agricultural Bank of China (Moscow) Limited, Bank of China Limited Macau
branch, Bank of China Limited Hungarian Branch, China Construction Bank
Corporation, Seoul Branch, China Construction Bank (Russia) limited, ??
????????, Commerzbank Aktiengesellschaft, filiale Luxemburg, Crédit Agricole
Corporate and Investment Bank, Crédit Agricole Corporate and Investment
Bank, London Branch, Credit Suisse AG, Deutsche Bank AG, London Branch, ING
Bank, a Branch of ING-DiBa AG, Banca IMI S.P.A, London Branch, Vseobecná
úverová banka, a.s., CIB Bank ltd, J.P.Morgan Securities plc, Mizuho bank,
ltd., AO Mizuho Bank (Moscow), MUFG Bank, Ltd., Natixis, AO Raiffeisenbank,
Société Générale , Sumitomo Mitsui Banking Corporation Europe Limited, AO
Unicredit Bank and Unicredit s.p.a., acted as Mandated Lead Arrangers. ING
Bank is the Coordinator and Documentation Agent, UniCredit Bank AG, London
Branch is the Facility Agent. Debevoise & Plimpton LLP were the legal
adviser to the company and Clifford Chance CIS Limited acted as the legal
adviser to the Lenders.
ABOUT THE COMPANY
PJSC «MMC «NORILSK NICKEL» is a diversified mining and metallurgical
company, the world's largest producer of palladium and high-grade metal
nickel and a major producer of platinum and copper. The company also
produces cobalt, rhodium, silver, gold, iridium, ruthenium, selenium,
tellurium, sulphur and other products.
The production units of «NORILSK NICKEL» Group are located at the Norilsk
Industrial District, on the Kola Peninsula and Zabaykalsky Krai in Russia as
well as in Finland and South Africa.
PJSC «MMC «NORILSK NICKEL» shares are listed on the Moscow and on the
Saint-Petersburg Stock Exchanges. PJSC «MMC «NORILSK NICKEL» ADRs are traded
over the counter in the US and on the London, Berlin and Frankfurt Stock
Exchanges.
Media Relations: Investor Relations:
Phone: +7 (495) 785 58 00 Phone: +7 (495) 786 83 20
Email: pr@nornik.ru Email: ir@nornik.ru
ISIN: US55315J1025
Category Code: MSCH
TIDM: MNOD
Sequence No.: 48698
EQS News ID: 983073
End of Announcement EQS News Service
(END) Dow Jones Newswires
February 25, 2020 08:30 ET (13:30 GMT)
