Russia’s Nomos Bank has mandated Citibank London, RZB and Sumitomo Mitsui Banking Corporation Europe (SMBCE) as initial mandated lead arrangers to jointly arrange an up to US$150mn syndicated term loan facility on its behalf. Syndication has been launched.
The proceeds from this transaction will be used for refinancing of an existing US$80mn trade-related syndicated loan and for other trade-related purposes.
This is the seventh year that Nomos has sought to raise financing from the international syndicated loan market. Starting with a debut US$17mn gold-secured short-term syndicated loan facility in 2001 Nomos has managed to raise further six purely gold-related syndicated loans.
Each of these facilities was significantly oversubscribed and operated in accordance with the facility documentation. None of the Russian gold producers have failed to meet their respective gold production/delivery obligations towards the bank.
This two-tranche facility has tenors of one year and two years and margins of 0.7% and 1% per year respectively.