RZB has been mandated by Nemuno Bangos Grupe, Lithuania and Petrochemical Trading, Cyprus to arrange a syndicated project finance facility for E110mn for financing the construction of a PET resin production plant as well as for working capital finance needs of the borrowers and its subsidiaries. The goal of the project is to develop the leading vertically integrated PET bottle pre-form player in CEE and Russia.
The underlying greenfield operation located at the Baltic See port, in Klaipeda, Lithuania will produce high quality PET resin with an annual production of 308.000mn tonnes per year mainly for internationally reputable bottle grade pre-form producers and for other group members within the vertical integration. PET resin is widely used in the packaging industry, in particular in the bottle making industry.
The supplier of the project technology is Zimmer AG, Germany, which is one of the major petrochemical technology and equipment suppliers.
The E110mn syndicated project finance facility consists of two tranches with a final maturity of 6.5 years from the date of signing the documentation:
Tranche A is an amortising term loan facility in the amount of E75mn. Tranche B is a working capital facility of E35mn.