UMMC signs debut EUR100m PXF syndicated loan
Ural Mining Metallurgical Company (UMMC), one of the top Russian producers of copper, zinc and other precious metals in Russia signs a debut EUR100m syndicated loan. Mandated Lead Arrangers, Bookrunners and Lenders are Raiffeisen Bank International AG, AO Raiffeisenbank, PJSC ROSBANK and SOCIETE GENERALE. Raiffeisen Bank International AG and AO Raiffeisenbank acted as documentation agent and Raiffeisen Bank International AG acts as facility and security agent. The borrower under the facility is JSC Sredneuralskiy Copper Smelter Plant. AO Raiffeisenbank and PJSC ROSBANK are Russian account banks.
The 3-year loan is a pre-export finance facility secured by future copper and other export goods deliveries and is governed by English law. The documentation provides for facility amount increase option. The proceeds will be used for refinancing and working capital financing.
Herbert Smith Freehills CIS LLP acted as legal advisors on behalf of the Lenders.
“We are happy to develop strategic cooperation with our foreign partners - SOCIETE GENERALE and Raiffeisen Group. The deal enables us to broaden the range of various financial instruments used for the needs of the Group”, says Mr Andrey Kozitsyn, CEO of UMMC-Holding.
Ural Mining Metallurgical Company (UMMC) operates more than 40 companies in various industries located in different regions of Russia. UMMC holding is one of the largest vertically integrated companies in the country.
Key assets of the holding are in mining, non-ferrous metals processing and machinery. The fundamental basis of the Company is full-cycle copper production: from mining to final products (copper rod, roll, cable and wire, radiators). Also UMMC is the largest metal zinc producer in Russia and the second largest coal producer in terms of volumes. The Company is one of the biggest producers in lead, precious and rare-earth metals market.