19 Nov 2010 16:32

SUEK frees subsidiaries shares after paying off loans

MOSCOW. Nov 19 (Interfax) - Siberian Coal and Energy Company (SUEK) has freed shares in its upstream units SUEK Krasnoyarsk and SUEK Kuzbass from collateral after paying off loans to Gazprombank and Sberbank .

Russia's No.1 coal producer had pledged 45% of the shares in SUEK Krasnoyarsk worth 10.65 billion rubles for collateral purposes for a $100-million loan from Gazprombank; and 44% of SUEK Kuzbass worth 17.456 billion rubles for a 5-billion ruble Sberbank loan. The loans were due to be repaid in 2012, but have been settled ahead of term.

It follows from SUEK's reporting that the Gazprombank loan was paid off in Q3 2010. A SUEK representative told Interfax that the Sberbank loan had also been paid off.

A source close to the company said another secured loan of 4.8 billion rubles from VTB was currently being paid off. SUEK has pledged 50% of each of its TGK-12 and TGK-11 generating companies with collateral value of 8.119 billion rubles for this loan.

SUEK restructured its loan portfolio by raising a five-year, $900-million pre-export financing facility at LIBOR+3.25% in September-October. ING and Societe Generale arranged the facility. The SUEK representative said no security was required for that loan.