The Bank of Tokyo-Mitsubishi UFJ (BTMU), through its London branch, has successfully closed a US$200mn revolving uncommitted secured borrowing base facility for Mercuria Energy Trading Middle East DMCC, a subsidiary of Mercuria Energy Group.
BTMU took on the role of bookrunning mandated lead arranger, sole co-ordinator and facility agent for the lender. Other participants include three Middle Eastern banks: Arab Petroleum Investments Corporation (Apicorp), National Bank of Abu Dhabi (NBAD) and Emirates NBD.
The 12-month facility will be used to finance the borrower’s working capital needs relating to its oil products flows in the Arab gulf, and includes an accordion option up to US$300mn to support its trading growth.
The deal is guaranteed by Mercuria Energy Group, the ultimate parent company.
Established in 2004, Mercuria is among the top five commodity companies with a turnover of US$112bn in 2013.
“BTMU and all the participant banks are keen to further support the commodity trading business for their clients for regional needs or through similar financing structures,” says a statement issued by the bank.