Displaying items by tag: Loan
Saudi Arabia: Yamama Cement has signed a US$443m financing agreement with Saudi National Bank (SNB). The company plans to invest the funds in its relocation of a 10,000t/day kiln line to its Northern Halal, Al Kharj, plant from the site of its former plant in Riyadh. This will help towards its aim of increasing the Northern Halal plant’s capacity to 30,000t/day by 2025. The loan consists of US$213m in long-term financing for a period of eight years, US$150m in refinancing of the long-term funding for a duration of four years and US$80m in short-term financing for one year.
India: Jaiprakash Associates has defaulted on its scheduled repayments of loans worth US$381m. Dion News Service has reported that the debt consists of US$203m-worth of overdue payments and a further US$178m in principal. The group’s total indebtedness is reportedly US$3.63bn. Its lenders include
HDFC Bank, Bank of India, Union Bank of India and over 30 other institutions.
Fauji Cement takes US$212m loan for cement plant expansions
06 January 2022Pakistan: Fauji Cement has taken out a loan of US$212m from a consortium lead by Habib Bank Limited. The Business Recorder newspaper has reported that the funding will go towards cement plant expansion projects with a total cost of US$339m. Fauji Cement plans to expand its plant in Dera Ghazi Khan, Punjab, while its subsidiary Askari Cement plans to expand its plant in Nizampur, Khyber Pakhtunkhwa. The company says that the projects will together increase its installed cement production capacity to 10Mt/yr.
Udayapur Cement launches upgrade to plant
19 November 2021Nepal: Udayapur Cement has commenced a US$4.2m upgrade and capacity expansion of its cement plant at Jaljale. The work includes replacing the shell of its 20m rotary kiln by the end of February 2021 and installing a reinforcement suspension preheater system, according to the Kathmandu Post newspaper. It will expand the plant’s capacity by 38% to 0.4Mt/yr from 0.29t/yr. The plant’s current equipment dates to 1988. Company spokesperson Laxman Pokharel said "Since the machines are old, we face frequent problems." He added that this has led to increased costs.
The Nepal government has agreed to loan Udayapur Cement US$34.4m, 80% of the project’s budget.
Cementos Molins renews sustainability-linked loan
16 November 2021Spain: Cementos Molins has secured a renewal of its sustainability-linked loan until December 2026 and increased its limit to Euro300m. The loan is linked to reductions in Cementos Molins’ CO2 emissions.
Chief financial officer Jorge Bonnin said “This innovation, together with the robust financial position and the strong cash generation, enables the development of the profitable and sustainable growth strategy through markets consolidation and development in new markets.”
Grupo Argos named in Dow Jones Sustainability Index
15 November 2021Colombia: Dow Jones has named Grupo Argos in its Sustainability Index 2021, the company’s ninth time appearing in the ranking. It achieved its highest ratings in materiality, risk management, environmental reporting, climate change strategy, social reporting and human rights. The group said that the listing constitutes its recognition as the most sustainable cement company in the world. Its sustainable initiatives include offering collection of its used cement bags, supplying all the electricity for its Colombian operations from renewable sources and currently having three credit facilities linked to environmental, social and governance indicators.
Legal and sustainability vice-president Maria Isabel Echeverri said “At Argos, we are greatly satisfied with this result which places us as a world benchmark in sustainability and reassures our commitment to closing gaps and implementing best practices in social, environmental, financial and corporate governance matters. This drives us to continue moving forward in creating social value to build the dreams of housing and infrastructure for millions of people.”
Cemex secures US$3.25bn credit agreement
11 November 2021Mexico: Cemex has successfully closed a US$3.25bn syndicated credit agreement. The group said that it used the proceeds to repay its previous US$2.65bn facilities agreement. The new agreement will require repayment in November 2026. As the facility is worth 23% more than its previous one, the company said that it will have a stronger liquidity position than previously, resulting in a favourable company risk and credit rating situation.
CEO Fernando Gonzalez said "This new credit agreement represents a major milestone in our path to investment grade as it is our first major syndicated unsecured bank agreement since 2009. It showcases Cemex’s continued access to diversified funding sources while further aligning our financing strategy to our leadership in addressing climate change.” He added “We are starting a new chapter for the company where we shift our strategic balance a bit more towards growth and the advancement of our Climate Action goals.”
NEQSOL Holding Ukraine to acquire Ivano-Frankivskcement stake
19 October 2021Ukraine: NEQSOL Holding Ukraine has filed an application to the Antimonopoly Committee of Ukraine (AMCU) to acquire a stake in Ivano-Frankivskcement. The group will take a loan from ‘leading international’ banks to pay for the stake.
NEQSOL Holding Ukraine manager Volodymyr Lavrenchuk, said “We are hopeful for an approval of the new deal by the AMCU so that we can welcome the high-tech enterprise Ivano-Frankivskсement into the NEQSOL Holding group of companies. We recognise the long-time outstanding results achieved by the Ivano-Frankivskсement management team and staff, who have created one of the most state-of-the-art cement plants in Europe.” He added “Our group of companies has successful experience in financing, including engagement of international financial institutions, which will help to secure the required investments for maintaining a high rate of growth of the cement plant.”
Cemex’s senior debt security released
12 October 2021Mexico: Cemex has announced the release of the collateral on its debt under its main bank agreement and senior secured notes. The release follows Cemex’s reporting of two consecutive quarters with a consolidated leverage ratio of 3.75x or less.
CFO Maher A-Haffar said “We are very pleased with this momentous milestone, which is a culmination of the substantial strengthening of our capital structure and paves the way towards an investment grade rating. This will simplify our debt structure and reduce the cost of managing our debt stack.”
SCG Packaging takes out US$148m sustainability-linked loan
29 September 2021Thailand: SCG Packaging has taken a US$148m four-year loan from Bank Ayudhya. The loan is subject to environmental, social and governance (ESG) criteria and key performance indicators. The loan’s interest rate is tied to the company's sustainability performance targets, namely reducing greenhouse gas emissions, managing water resources and increasing the sales portion of its Green Choice label products and services. Bank Ayudhy will serve as sustainability coordinator, with the ability to adjust it down annually if sustainability goals are met.