BB Energy, an independent energy trading company, renewed and expanded its senior secured borrowing base credit facility in the Americas. The facility finances the company’s working capital needs for inventory and receivables in the region.
The facility was launched at $500 million and subsequently increased to $600 million on the back of an oversubscription. The facility can be increased by an additional $200 million via an available accordion feature.
A group of 11 banks provided commitments for the facility. ING Capital acted as arranger and bookrunner in the syndication and will act as administrative agent for the facility, while Citibank is the cash management bank.
The other returning banks were Natixis, Société Générale, HSBC Bank, Wells Fargo Bank, Credit Agricole, UBS Switzerland AG and Garanti Bank International. In addition, two new banks joined the Facility: Deutsche Bank and Mitsubishi UFJ Financial Group.
“We are very pleased with the successful syndication of our key credit facility in the Americas,” Sergio Marazita, regional CFO for the Americas at BB Energy, said. “The oversubscription from our banking partners is evidence of their strong confidence in BB Energy.
“We are very happy to welcome two new banks to the facility, Deutsche Bank and MUFG. I would like to thank our lead bank, ING Capital LLC, together with all of the existing lenders and the new participating banks. We are grateful for their continued support of BB Energy, and we look forward to working with them.”
“ING is delighted to have played a leading role in the successful renewal of BB Energy’s US borrowing base facility. The entry of new lenders and the resulting large oversubscription is a testament to the maturity of BB Energy’s operations in the Americas,” Caue Todeschini, head of TCF Americas at ING, said.
