Russian coal firm launches syndication
Coal company CCZ Trade has tapped the syndicated loan market for a three-year pre-export finance facility.
Amsterdam Trade Bank (ATB), who has already pledged US$50mn, is acting as the arranger, initial lender, facility agent, security trustee and account bank.
The syndication which was launched towards the end of August is hoping to raise a further US$50mn from the international market, although Hans Tamm, head of structured finance at ATB tells GTR that the syndication process is expected to stop at around US$75mn.
The deal will close in around four weeks and will carry an interest rate of 600 basis points, Tamm confirms to GTR.
The facility also has a financial performance guarantee from Russia’s Coal Company Zarechnaya and Mine Zarechnaya.
CCZ Trade was set up in Switzerland in September 2011 by Coal Company Zarechnaya to manage all of the firm’s export flows.
Coal Company Zarechnaya is one of the top 10 coal producers in Russia, and last year was the fourth largest exporter of coal from Russia, exporting 7.6 million tonnes.