Gränges enters into new credit facility agreements and increases the financial flexibility
Gränges has refinanced the credit agreement that originally financed the acquisition of the US business in August 2016. The new credit facilities give Gränges a cost-effective financing, an increased financial flexibility and a prolonged time to maturity.
The new credit facilities consist of a revolving credit facility available in several currencies of SEK 2,000 million with a term of 3 years and an option to prolong to 5 years, a Term Loan of USD 100 million with a term of 5 years and a revolving credit facility for the American subsidiary Gränges Americas Inc. of USD 50 million with a term of 3 years.
Mandated Lead Arrangers of the credit agreements were Danske Bank A/S, Danmark, Sverige filial, Nordea Bank Abp, filial i Sverige, and Svenska Handelsbanken AB (publ). Danske bank A/S will act as facility agent.
Gränges has also entered into an additional Term Loan of USD 25 million with a term of 4 years with AB Svensk Exportkredit.
In connection with the new credit facilities a corresponding amount will be repaid on the original credit facility. The new credit facilities are expected to have a neutral effect on Gränges’ financial cost for the current year.
For further information, please contact:
Oskar Hellström, CFO and Deputy CEO
firstname.lastname@example.org, tel: +46 8 459 59 00
Johan Dufvenmark, VP Group Treasury
email@example.com, tel: +46 705 97 4375
Gränges is a leading global supplier of rolled aluminium products for heat exchanger applications and other niche markets. In materials for brazed heat exchangers Gränges is the global leader with a market share of approximately 20 per cent. The company develops, produces and markets advanced materials that enhance efficiency in the customer manufacturing process and the performance of the final products. The company’s geographical markets are Europe, Asia and the Americas. Its production facilities are located in Sweden, China and the United States, and have a combined annual capacity of 420,000 metric tonnes. Gränges has some 1,800 employees and net sales of SEK 13 billion. The share is listed on Nasdaq Stockholm. More information on Gränges is available at www.granges.com.