The Board of Directors of Gazprom Neft has approved an amendment agreement to increase the amount of its USD 600 million Club Term Loan Facility signed in April 2011 to USD 870 million. Original terms of the Facility remain unchanged.
The agreement on the increase was reached with a group of banks in August. The increase was achieved by both the increase of commitments of the existing lenders and by accession of a new lender Nordea. The funds will be used for general corporate purposes.
"The success of raising additional funds on original terms and conditions was determined by both the company's timely reaction to a change in the global financial markets and the support of its relationship banks. Attracting additional funds on the original lending terms will favorably impact the average maturity and the average interest rate on the group's loan portfolio," commented Gazprom Neft acting CFO Aleksei Yankevich.
The Mandated Lead Arrangers under the Facility currently include Bank of America Merrill Lynch, Citibank N.A., HSBC Bank PLC, ING Bank N.V., Mizuho Corporate Bank Nederland N.V., Nordea and Sumitomo Mitsui Banking Corporation Europe Limited.