Commodity trader Olam obtains US$1.4 billion debt refinancing

U.S. one-dollar currency notes; taken September 2018.U.S. one-dollar currency notes; taken September 2018.

Commodity trader and agri-business Olam International and its wholly owned subsidiary, Olam Treasury Pte. Ltd. (OTPL), obtained a US$1.425 billion multi-tranche revolving credit facility, it said on Friday.

The facility proceeds will be used for refinancing existing loans of Olam and its subsidiaries, it said in a filing to SGX after the market close on Friday.

“This refinancing was an integral part of our ongoing efforts to proactively manage our capital structure,” Jayant Parande, president and global head of treasury and investor relations at Olam, said in the statement

The facility has three tranches, a 364-day revolving credit facility of US$570.0 million, a two-year revolving credit facility of US$427.5 million and a three-year revolving credit facility of US$427.5 million, it said.

Olam said the lender group included nine senior mandated lead arrangers: ABN Amro Bank, ANZ, First Abu Dhabi Bank PJSC, HSBC, NAB, Natixis, Standard Chartered Bank, Unicredit Bank AG and Sumitomo Mitsui Banking Corp.

It said there were eight mandated lead arrangers: Bank of Baroda, BNP Paribas, Commonwealth Bank of Australia, DBS Bank, JP Morgan Chase Bank, Mizuho Bank, MUFG Bank and Westpac Banking.

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