Credit market

Gränges' treasury function ensures that the Group’s financing is secured by managing the loans, lines of credit and liquidity and that the financial exposure is in line with the Group’s financial policy.

Gränges' financing mainly consists of term loans, credit facility loans, commercial papers and bonds issued under the Group’s MTN program. As at 31 December 2019, the interest-bearing debt amounted to SEK 3,853 (2,632) million, whereof SEK 953 is due in 2020.

The main loan facilities are a multi-currency revolving credit facility of SEK 2,000 million which is due 29 March 2023 with an option to prolong for two years, a revolving credit facility of USD 50 million due 29 March 2022 and an USD 100 million Term Loan due 29 March 2024.

Gränges has a commercial paper program available in Swedish Krona with a framework amount of SEK 1,500 million. A total of SEK 900million of Commercial papers was issued as per 31 December 2019.

MTN Program

Gränges has an MTN Program (Medium Term Notes) with a framework amount of SEK 3 billion. The prospectus has been approved by Finansinspektionen, the Swedish financial supervisory authority, and is also available at www.finansinspektionen.se.

Financing of Gränges acquisition of Aluminium Konin

In November 2019, Gränges signed an agreement to acquire the Polish flat rolled aluminium producer Aluminium Konin. The transaction is subject to regulatory approval by the relevant competition authorities.

Gränges has secured bank financing to finance the transaction. Danske Bank, Nordea Bank and Svenska Handelsbanken act as Underwriters and Bookrunners for a SEK 2.3 billion bridge loan facility with a total time to maturity of 18 months. This is intended to be repaid by bank loans, debt capital market instruments, and a new share issue with preferential rights for existing shareholders to a total amount of approximately SEK 2 billion.

 

For further information, please contact:

Johan Dufvenmark, VP Group Treasury & Investor Relations
Phone: +46 705 97 43 75


Documents

Prospectus:   

Grundprospekt 2018-08-30

Final terms:  

Loan no. Date Tenor Amount
101 20 September 2018 3 years 300 MSEK
102 20 September 2018 5 years 300 MSEK