OREANDA-NEWS. August 14, 2007. System Capital Management (SCM) has received an additional $145m as a result of the successful syndication of the previously announced $400m secured credit facility arranged by BNP Paribas (Suisse) (the sole book runner) and Bayerische Hypo-und Vereinsbank AG (UniСredit Group), NATIXIS, Raiffeisen Zentralbank Osterreich AG and Standard Bank plc (as mandated lead arrangers).

As announced on 6 March, 2007, SCM signed an agreement with BNP Paribas (Suisse) to arrange and fund a four year $400m syndicated loan facility. On 18 May 2007, four banks joined the transaction as mandated lead arrangers. Today, the SCM loan has increased to $545m with a total of seventeen banks participating as lenders at different levels of commitment in the transaction.
“We would like to thank all our core relationship banks for working with us on this very complex, and for Ukraine, extraordinary transaction. We are also pleased to see names which are new to working with SCM participating and we look forward to further developing our relationship with these banks. We consider this debut transaction as a starting point for SCM’s activity in international capital markets”, said Oleg Popov, the General Director of SCM.

Proceeds of the facility will be used for the general corporate investment purposes of the SCM Group. The facility is secured by a pledge on 60%+1 shares of Severny GOK and Centralny GOK, two subsidiaries operating within the Metinvest metals and mining holding company of the SCM Group.

Information for journalists:

JSC System Capital Management (Donetsk) is the largest Ukrainian managing company, which owns and controls assets in the steel, engineering, energy-generating, coal-mining industries, in telecommunications, banking, insurance, media and other sectors of economy.

In particular, the company is a shareholder of Azovstal Iron and Steel Works, Yenakievo Metallurgical Works, Khartsizsk Pipe Works, Avdeyevka by-Product Coke Plant, Central and Northern Mining-Dressing Integrated Works.

90% of JSC SCM shares are owned by the Ukrainian businessman Rinat Akhmetov.