Daily News: December 27, 2017

BBVA-Bancomer Signs $200MM Mexichem Credit Facility


Mexichem, one of the world’s largest chemical and petrochemical companies, signed a credit facility with BBVA-Bancomer of up to $200 million dollars. The facility will be used to complete the acquisition of Netafim and could substitute the use of Mexichem’s revolving credit facility, as previously announced, given more competitive conditions.

The annualized interest rate will be 3-month LIBOR plus 80.5 basis points, with quarterly payments and no penalty for prepayments. Subsidiaries that represent at least 50% of Mexichem’s consolidated EBITDA will serve as guarantors, and the facility will mature 12 months from the borrowing date.