Thursday, December 10, 2009

Recapital pricing loan

PT Recapital Advisors will pay premium 8 percent more than London inter bank offered rate (Libor) for U$300 million loan arranged by Credit Suisse Group AG. This loan will help fund its $1.48 billion acquisition of PT Berau Coal.
Empire Capital Resources Ltd., a Berau unit, will also get a $300 million one-year loan via Credit Suisse paying 4.75 percentage points more than Libor. This loan will be used to repay $225 million of 9.375 percent bonds after the buyout triggered a so-called change of control clause
requiring early redemption of the 2011 notes.
Recapital is being assisted by PT Bumi Resources, it may provide the investment company with $300 million of additional funding to complete the acquisition. Bumi would be willing to support Recapital in exchangefor exclusive marketing rights for thermal coal

No comments: