Mechel says restructures $1 bln syndicated loan

MOSCOW, Jan 22 (PRIME) -- Russian metals and mining group Mechel has restructured a U.S. $1 billion pre-export syndicated loan, the company said in a statement Tuesday.

“This became possible thanks to a credit line provided by VTB Bank in euros with maturity in April 2022. The grace period for the principal debt is set until April 2020,” the company said.

“Refinancing of the syndicated loan allowed the group to reduce the share of unrestructured debt to 8% from 22%, cut the number of foreign creditors in the total loan portfolio, synchronize the conditions and schedule of debt repayment with current conditions on loans from Russian banks, and also reduce the cost of borrowing,” CFO Nelli Galeyeva was quoted as saying.

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