Evraz NA Signs New Revolving Facility
12/29/2011 - Evraz plc has closed a USD610 million five-year committed revolving credit facility for Evraz NA. Funds will be used to re-finance existing facilities as well as for financing Evraz NA's working capital requirements.
Evraz plc has closed a USD610 million five-year committed revolving credit facility for Evraz NA, its US and Canadian wholly-owned subsidiaries.
The facility, an asset-based revolving credit line, is secured with the inventories and receivables of Evraz NA. The company said it will use the funds to re-finance the existing USD225 million and CAD300 million facilities, as well as for financing Evraz NA's working capital requirements and for other corporate purposes.
Amounts drawn under the new facility will bear interest at floating rates with margins varying between 1.50% to 2.00% over LIBOR depending on the loan utilization level, compared to between 3.25% and 4.25% over LIBOR on the refinanced facilities.
GE Capital Markets, Inc., GE Capital Markets (Canada) Ltd., Merrill Lynch, Pierce, Fenner & Smith Incorporated and UBS Loan Finance LLC acted as Joint Lead Arrangers and Joint Bookrunners for the transaction.
GE Capital Markets, Inc., GE Capital Markets (Canada) Ltd., Merrill Lynch, Pierce, Fenner & Smith Incorporated and UBS Loan Finance LLC acted as Joint Lead Arrangers and Joint Bookrunners for the transaction.
Evraz North America is a leading steel manufacturer built on the pedigree of successful steel companies – formerly known as Oregon Steel, Rocky Mountain Steel, Claymont Steel and Ipsco. Evraz North America produces more than 5 million tons annually of flat, long, and tubular steel products for major markets including infrastructure, defense, energy and rail.
Evraz Group S.A. is a large vertically-integrated steel, mining and vanadium business with operations in the Russian Federation, Ukraine, Europe, USA, Canada and South Africa and employs approximately 110,000 people. The Company is ranked the 20th-largest steel producer in the world based on crude steel production of 16.3 million tonnes in 2010. Evraz is largely self-sufficient in respect of its iron ore and coking coal requirements with the majority of its internal consumption covered by its mining operations. For the year ended December 31, 2010 Evraz reported consolidated revenues of US$13,394 million and consolidated adjusted EBITDA of US$2,350 million.
