One of India’s leading cement makers Gujarat Ambuja Cements Ltd said it will next week sign a three-year loan for $100m to partly refinance an earlier loan. "The new loan will partly replace our earlier loan of $80m and also meet our normal capital expenditure," said Jayesh Doshi, vice president of treasury of Gujarat Ambuja. He said the bank had just received the loan details from the group of six banks arranging it.
"The loan is priced at six-month Libor (London interbank offered rate) plus 45 basis points," said a banker who declined to be named. He said Gujarat Ambuja’s earlier loan of $80m was at the higher rate of Libor plus 105 basis points. The banks arranging the loan are ABN Amro Holding, Bank of America Securities Asia, Calyon, Citigroup, DBS Group Holdings and ING Groep.