HeidelbergCement is in talks with banks to refinance and extend the maturity of a EUR5.33bn loan, banking sources said on Monday.
HeidelbergCement is seeking a complex two-part loan waiver to extend the maturity of EUR5.33bn of a multibillion euro loan that backed its 2007 acquisition of Hanson, two bankers close to the deal said.
HeidelbergCement was not immediately available for comment.
The new waiver will first extend the maturity of HeidelbergCement’s existing EUR5.33bn loan from May 14 until July 17 in return for an increased interest margin, the two bankers said.
This will buy the company time to complete a medium-term refinancing that will extend the maturity of that loan and other outstanding facilities until December 2011, the two bankers added.