RusHydro has improved its loan portfolio despite challenging environment
JSC RusHydro (ticker symbol: MOEX, LSE: HYDR; OTCQX: RSHYY) has improved its loan portfolio with a RUB 2.776 bn credit facility secured from Sberbank of Russia. These funds were used to refinance the Company’s long-term target loans obtained in the mid-2000s to finance the comprehensive modernization of RusHydro’s generating facilities.
In the current unstable financial markets conditions RusHydro managed to reduce interest rate as well as to extend the credit period from 2.2 to 8 years through changing a loan repayment procedure (repayment through amortization schedule was changed to lump-sum payment in the end of credit period).
On April 8, 2014, Sberbank CIB has arranged an 8-year loan in the amount of RUB 2.776 bn for RusHydro Group. The loan agreement was approved by the Board of Directors of RusHydro on March 28, 2014. The transaction was prepared by Sberbank CIB team together with JSC Sberbank of Russia.
Konstantin Bessmertny, Member of the Management Board of RusHydro, said: “Stable partnership with the agent banks of RusHydro Group allows us to be independent of contradictive trends and current debt capital market conditions and finance our operating and investment activities more efficiently.”
The information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of RusHydro. You can identify forward looking statements by terms such as "expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may" or "might," the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially from these statements. We do not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, general economic conditions, our competitive environment, risks associated with operating in Russia, rapid technological and market change in our industries, as well as many other risks specifically related to RusHydro and its operations.
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