Novorossiysk Port not to raise syndicated loan to refinance Eurobonds
MOSCOW. May 5 (Interfax) - OJSC Novorossiysk Commercial Sea Port (NCSP) will not be raising a syndicated credit to refinance $300 million in Eurobonds, the company said.
"The successful placement of ruble-bond series Bo-02 enables NCSP to dispense with the need to raise a syndicated loan," said the company's acting general director, Rado Antolovic.
Demand for the 4 billion rubles in bonds, which the port placed on May 2, was 12 billion rubles, and they will be used to refinance the $300 million in Eurobonds, which mature on May 17, 2012. "Thus, the company's debt will fall by $165 million, in keeping with management's gradual deleveraging strategy," the press release said.
The company officially said at the end of March that it might raise a syndicated loan of $150 million to pay the Eurobonds off.