The Black Sea Trade and Development Bank (BSTDB) and the vertically integrated group of mining and metallurgical companies Metinvest have announced the signing of a loan agreement in the amount of EUR 62 million to finance and refinance the purchase of machinery and equipment for its iron ore enterprises (GOK).
“The seven-year credit facility was granted with a two-year grace period for principal repayment,” the group said in a press release.
“This news marks the culmination of significant efforts since July and is an important milestone in our history, as the facility is our first from an international financial institution. At Metinvest, we share the values of BSTDB and intend to use this financing to make our business more efficient, as well as to increase our overall contribution towards the Black Sea region’s economic wellbeing,” Yuriy Ryzhenkov, the Chief Executive Officer of Metinvest, said.
“Working with an international financial institution has been a highly positive new experience for Metinvest. I would like to express my gratitude to the BSTDB team for their continued support throughout the process and for helping to make this transaction happen. We are proud of this new partnership and are eager to develop it further,” Alexander Lyubarev, the Director of Corporate Finance and Treasury at Metinvest, reported.
“We are happy to assist Metinvest, a leading manufacturer and employer in Ukraine, in implementing its development and capital expenditure program focused on improved production technology, efficiency and environmental impact. Given the importance of this sector to the country and its export potential, this operation will have an important developmental impact in Ukraine. As a regional development bank, we welcome that the group plans to buy new equipment from and export its products to other BSTDB member countries, thus strengthening the regional cooperation,” BSTDB President Dmitry Pankin noted.
