Gerald Group, a metals trading house, renewed its North American syndicated borrowing base credit facility. Despite global market challenges resulting from the COVID-19 pandemic, Gerald’s North American trading hub, GT Commodities (GTC), closed its $240 million facility with an oversubscription from an initial launch amount of $175 million.
This facility supports Gerald’s existing metal trading, logistics and merchant activities in North America, while incorporating an accordion feature to accommodate GTC’s growth and expansion. ING Capital was lead lender and administrative agent for the facility on behalf of GTC. Rabobank served as lead arranger and Credit Suisse joined at the top participation level. The syndication included increased participation from Credit Agricole and HSBC, and continued support from Deutsche Bank.
“The successful renewal of this facility, which was significantly oversubscribed, underlines our lending partners’ strong appreciation of the group’s business model, which continues to show strong resilience and performance, as it has done over the last 58 years,” Mital Patel, global head of finance and banking for Gerald Group, said. “Led by ING, our financing group reinforces Gerald’s position in the North American metals market, where the group is continuing to expand and develop its business with our partners.”
“The success of this syndication, amidst unprecedented global economic conditions and a very challenged commodity finance market is a reflection of Gerald’s established position in the diversified metals space,” Matthew Rosetti, head of commodity finance for ING in North America, said. “The financial flexibility that this facility provides will support well the company’s ambitions in the North American region.”