Oryx Stainless Group increased its financial flexibility with a syndicated credit facility in the amount of €125 million ($127.5 million), replacing the existing facility at an early stage. This refinance guarantees sufficient liquidity for further growth planning. The syndicated borrowing base credit agreement serves mainly to finance the working capital of the European Group companies as well as to provide collateral in connection with commodity hedging business and is parallel to a credit agreement in Thailand for the Asian business of the group.
The transaction was agreed with a long-standing unchanged consortium of six banks and runs for a period of three years, with an option to extend for a further year. Included in the documentation is an option to increase the loan amount up to €145 million($148 million). The banking consortium includes HSBC Germany as sole book runner and mandated lead arranger, with Commerzbank, DZ Bank and Rabobank (mandated lead arrangers) as well as NRW Bank and Stadtsparkasse Düsseldorf (lead arrangers).