HeidelbergCement extends its €3bn credit facility

HeidelbergCement extends its €3bn credit facility
02 February 2012

HeidelbergCement has secured an extension of its €3bn syndicated credit facility, which was due to mature at the end of 2013, until 31 December 2015. All 17 original lenders have confirmed their participation and two additional lenders joined the syndicate. The €3bn multicurrency credit facility is intended as liquidity back-up and can be used for cash drawings and guarantees.

Under the amendment, the margins increased by 25bps across the existing margin grid, with an additional 50bps pricing premium for US-dollar drawings.

HeidelbergCement paid a one time amendment fee of 45bps and pays a first draw fee of 15bps whilst all other terms and conditions remained unchanged. The amendment and extension are subject to documentation and the approval of the supervisory board of HeidelbergCement. Signing is expected for mid-February.

“The successful extension of the syndicated credit facility agreement is a clear proof of the strength of our relationships with our core banks,” says Dr. Bernd Scheifele, CEO of HeidelbergCement. “The fact that two additional lenders joined the existing syndicate and we were able to limit the margin increase to only 25 basis points in an overall difficult financing market environment underlines the trust of the institutions in our company. With the extension of the credit facility, we secure sufficient liquidity back-up for our company until the end of 2015.”

Bank of America / Merrill Lynch, Bayern LB, BNP / Fortis, Citigroup, Commerzbank, Danske A/S, Deutsche Bank, Svenska Handelsbanken, Helaba, ING, Intesa, LBBW, Mediobanca, Morgan Stanley, Nordea, RBS, RBI, SEB, and Standard Chartered were mandated lead arrangers on the self arranged facility

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Tagged Under: HeidelbergCement