Russia's PhosAgro raises debut $250mn 4-year syndicated trade financing loan

By bne IntelliNews June 29, 2016

Leading vertically-integrated phosphate-based fertiliser producer PhosAro has raised its debut pre-export financing of $250mn from a group of international banks including French bank Société Générale, Russian bank Rosbank, and Austrian bank UniCredit Bank Austria AG that acted as coordinating mandated lead arrangers, the company said in a press release. 

The international capital markets are slowly opening up again to leading Russian corporates, who have been able to issue a small number of bonds recently as political tensions fade.

PhosAgro's facility was signed by its subsidiary JSC PhosAgro-Cherepovets and the company says it will use the funds to refinance existing debt. Drawdown of the facility will begin before the end of June.

PhosAgro CEO Andrey Guryev said: "I am pleased to note that the cost of foreign-currency financing for high-quality borrowers like PhosAgro has returned to an attractive level. This new PXF will be used for refinancing of existing short-term debt and refinancing of more expensive debt. It will also serve as a benchmark transaction to test the appetite for the PhosAgro name, and to ensure we have a full range of financing options available, in anticipation of the $500mn Eurobond refinancing in 2018."

Ilya Polyakov, the first deputy chairman of Rosbank's management board and Société Générale's corporate and investment banking head of coverage and investment banking for Russia and the CIS, said: "This successful debut pre-export loan for PhosAgro, which is a key client of Société Générale/Rosbank in Russia, was possible thanks to our longstanding relationship. This deal was successful thanks to PhosAgro being an exceptionally high-quality borrower with an excellent management team, combined with Société Générale's leading position and competencies in the area of structured finance."

UniCredit Bank management board member Kirill Zhukov-Emelyanov said: "As part of the large international UniCredit banking group, we are happy to support the successful development of our long-time strategic partner PhosAgro. This deal's success once again confirmed UniCredit's leading position in the structured finance market."

Related Articles

Hungary finally joins the negative yield club

Hungary finally joined the negative yield club on March 21 as Government Debt Management Agency AKK  accepted a bid of -0.01% at an auction of 3-month T-bills. Hungarian yields have been on ... more

S&P improves Russia's outlook to Positive

Standard & Poor's improved the outlook on Russia's sovereign ratings from Stable to Positive, while affirming the 'BB+/B' foreign currency rating and 'BBB-/A-3' local currency rating, the agency ... more

IMF delays new $1bn tranche to Ukraine due to Donbas blockade

Ukraine's main donor, the International Monetary Fund (IMF), has cancelled a board meeting scheduled for March 20 that was expected to see the release of a $1bn tranche to Ukraine, while demanding ... more

Register here to continue reading this article and 2 more for free or purchase 12 months full website access including the bne Magazine for just $119/year.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

Thank you. Please complete your registration by confirming your email address.
A confirmation email has been sent to the email address you provided.

To continue viewing our content you need to complete the registration process.

Please look for an email that was sent to with the subject line "Confirmation bne IntelliNews access". This email will have instructions on how to complete registration process. Please check in your "Junk" folder in case this communication was misdirected in your email system.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

If you have any questions please contact us at sales@intellinews.com

Subscribe to bne IntelliNews website and magazine

Subscribe to bne IntelliNews website and monthly magazine, the leading source of business, economic and financial news and commentary in emerging markets.

Your subscription includes:
  • Full access to the bne content daily news and features on the website
  • Newsletters direct to your mailbox
  • Print and digital subscription to the monthly bne magazine
  • Digital subscription to the weekly bne newspaper

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

bne IntelliNews
$119 per year

All prices are in US dollars net of applicable taxes.

If you have any questions please contact us at sales@intellinews.com

Register for free to read bne IntelliNews Magazine. You'll receive a free digital subscription.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

Thank you. Please complete your registration by confirming your email address.
A confirmation email has been sent to the email address you provided.

IntelliNews Pro offers daily news updates delivered to your inbox and in-depth data reports.
Get the emerging markets newswire that financial professionals trust.

"No day starts for my team without IntelliNews Pro" — UBS

Thank-you for requesting an IntelliNews Pro trial. Our team will be in contact with you shortly.

Dismiss