Global commodities trader Mercuria has closed US$1.5bn-worth of revolving credit facilities (RCFs) from a group of banks.
The facilities include a 1-year multi-currency RCF and a 1-year multi-currency swingline RCF. Both loans have a 1-year extension option and will be used for general corporate purposes and working capital.
The facilities were launched on April 24 at US$1.2bn and, following strong demand from banks, were oversubscribed by more than 25% and subsequently increased to US$1.5bn in aggregate, with Mercuria choosing to scale back lender commitments.
ABN Amro, Crédit Agricole, Credit Suisse, Industrial Commercial Bank of China, ING, Mizuho, Natixis, Rabobank, SMBC, Société Générale and UniCredit acted as bookrunning mandated lead arrangers (MLAs). Bank of China, Commerzbank, DZ Bank, Emirates NBD and UBS Switzerland joined as MLAs.
Banks joining as lead arrangers include: Agricultural Bank of China, DBS Bank, First Abu Dhabi Bank (FAB), KfW Ipex-Bank and MUFG Bank.
CaixaBank, Erste Group, Lloyds Bank, Raiffeisen Bank International, Sumitomo Mitsui Trust Bank and Zürcher Kantonalbank are arrangers. Banque Cantonale Vaudoise acted as co-arranger and Garanti Bank International also participated in the deals.
“The renewal of our 2020 European RCF has again been a success in difficult market conditions,” says Guillaume Vermersch, group chief financial officer of Mercuria. “[It underlies] the strong vote of confidence coming from our banking partners, who value the resilience and performance of the business model developed by Mercuria over the past 16 years.”
In June 2019, the commodities trader closed similar facilities worth US$2.25bn, which were also oversubscribed by more than 25%, with Mercuria choosing to scale back lender commitments.