Russian potash producer Uralkali has secured a US$205mn pre-export finance facility with a group of seven international banks.

The initial mandated lead arrangers and bookrunners on the deal are Bank of Tokyo-Mitsubishi UFJ and Sumitomo Mitsui Banking Corporation. DZ Bank, Natixis and Industrial and Commercial Bank of China also participated in the deal, with Natixis acting as facility agent and security agent.

The five-year loan is priced at Libor plus 250 basis points and will be used for the company’s general corporate finance purposes.

Viktor Belyakov, Uralkali chief financial officer says: “Uralkali is a first-rate borrower with a comfortable debt level. However, we continue to optimise our credit portfolio and we have been successful in securing this long-term financing on very favourable terms despite the ongoing instability in the financial markets. Moreover, we are broadening the range of partner banks of the company.”

Uralkali is one of the world’s largest potash producers with a market share of approximately 20%. The company owns five mines and seven ore-treatment mills in the towns of Berezniki and Solikamsk (Perm territory, Russia).