OMV Group, the leading energy Group in Central and Southeastern Europe, announced the refinancing of a EUR 1.5 bn syndicated revolving credit facility. This marks the latest step in a process of enhancing the funding profile of the Group initiated in September 2008 with the first time publication of credit ratings assigned by Moody's (A3) and Fitch (A-).
OMV Group has signed a EUR 1.5 bn syndicated multi-currency credit facility with a five-year maturity. This facility replaces the existing facility expiring 2011 and will be used for general corporate purposes. The transaction was arranged by Bank of America/Merrill Lynch, Barclays Capital, BNP Paribas, Credit Agricole, Deutsche Bank, Erste Group, J.P. Morgan, Raiffeisen Zentralbank, Société Générale and Unicredit Bank Austria as Mandated Lead Arrangers and Bookrunners. The bank syndicate comprises a total of 16 domestic and international lenders. The margin is set at 75 bps p.a. over EURIBOR.
David Davies, CFO of OMV commented, "The signing of this facility extends a refinancing programme during which OMV Group has established itself as a borrower in the Eurobond market significantly broadening its investor base. We have substantially reduced the Group’s reliance on bank debt and now have a balanced portfolio of bank debt and funds sourced from the capital markets." By the end of 2009 the average maturity of the Group's debt could be extended to 3.7 years and unused committed credit facilities amounting to EUR 2,850 mn were available to OMV Group.
The following milestones have led to the current comfortable funding profile:
Through the above transactions the OMV Group has established itself in the international debt capital markets and has demonstrated that even under the most difficult market conditions it is seen as a stable investment.
Most Popular Articles