NLMK USA, NLMK Group’s American Division, has refinanced a $250 m credit line that it acquired in 2011. The new revolving credit line has a maturity of 4 years and will be used to finance working capital and general corporate activities.
The borrowers are NLMK Indiana, NLMK Pennsylvania and Sharon Coating, and NLMK North America Plate trading companies. Bank of America is acting as coordinator, bookrunner, credit agent and collateral agent. Other banks involved in the deal are J.P. Morgan, Citibank.
The loan is backed with NLMK USA receivables and inventory; and a guarantee from Novolipetsk, which has an investment grade credit rating from S&P and Fitch.
About NLMK USA
NLMK USA is one of the leading steel companies in the USA. It comprises NLMK Indiana, NLMK Pennsylvania and Sharon Coating, producing slabs, HRC, CRC and HDG. NLMK USA steelmaking capacity is around 0.8 mt; its rolling capacity is about 2.9 mt. Division sales grew by 3% to 1.8 mt in 2016, driven by high demand from key consumers.
About NLMK Group
NLMK Group is the largest steelmaker in Russia and one of the most efficient in the world.
NLMK Group’s high-quality steel products are used in various industries, from construction and machine building to the manufacturing of power-generation equipment and offshore windmills.
NLMK operates production facilities in Russia, Europe and the United States. The Company’s steel production capacity exceeds 17 million tonnes per year.
NLMK has the most competitive cash cost among global manufacturers and one of the highest profitability levels in the industry. In 9M 2016, the Company generated $5.671 billion in revenue and $1.423 billion in EBITDA. As of 30 September 2016, Net debt/EBITDA stood at 0.39х.
NLMK’s ordinary shares with a 16% free-float are traded on the Moscow Stock Exchange (ticker "NLMK") and its global depositary shares are traded on the London Stock Exchange (ticker "NLMK:LI"). For more information on NLMK's shareholder capital, please follow http://nlmk.com/ru/investor-relations/shareholder-centre/shareholder-structure/?from=en
NLMK Group received Steel Industry Leadership Award at the prestigious 2016 Platts Global Metals Awards held by S&P Global Platts, a leading international industry analytical periodical.