OREANDA-NEWS. January 28, 2013. Sberbank CIB acted as a joint mandated lead arranger and lender for a USD 280 mln bridge loan for Nord Gold N.V. (Nordgold) to finance the buyout of the minorities in the Canadian mining company High River Gold Mines Ltd (HRG), reported the press-centre of Sberbank.    

The six-month bridge loan was jointly coordinated by Sberbank CIB, Natixis, and Sociйtй Gйnйrale. The financing structure was adapted to the timeline of the HRG minority share purchase and gave Nordgold additional flexibility to make multiple drawdowns in accordance with the schedule of payments to HRG minorities. As a result of the successful deal, Nordgold has increased its stake in HRG from 75.06% to 97.9%. Consolidation of a 100% stake in HRG is planned for 1H2013.

This bridge loan marks the first time Nordgold has secured financing with Western European banks. The company has appointed Sberbank CIB, Natixis and Sociйtй Gйnйrale as exclusive mandated lead arrangers and bookrunners to refinance the bridge loan through a new gold pre-export finance facility which will be shortly launched.

Norton Rose served as legal advisor to the banks on the bridge financing. 

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Nordgold
Nord Gold N.V. (Nordgold, LSE: NORD) is a pure-play emerging-markets gold producer, established in 2007. In the first years of operation, the company has expanded rapidly through acquisitions and organic investment, achieving a rate of growth unmatched in the industry during that period. In 2011 Nordgold’s gold production reached 754 Koz (about 23.5 tons). The company operates nine active mines and has one development project, several projects with localized resources and a wide portfolio of early exploration projects and licenses in Russia, Kazakhstan, Burkina Faso and Guinea. Nordgold GDRs are traded on the London Stock Exchange.