The Management Board of KGHM Polska Miedź S.A. announces that on 7 February 2024 it consented to sign an unsecured, revolving credit agreement with Bank Gospodarstwa Krajowego in the amount of USD 450 million for a financing period of up to 60 months, with an option to extend it by a subsequent 24 months (henceforth “the Agreement”).
During the credit’s availability period, that is 36 months from the date of signing the Agreement, the credit is a renewable credit line (every repayment renews the available credit limit) and beginning from the first day after the period of 36 months from the date of signing the Agreement, the credit will be transformed into a non-renewable loan to be repaid in four equal, semi-annual principal instalments (unless it is extended as per the conditions described below). Every repayment of a principal instalment will decrease the amount of credit until the credit is fully repaid.
Moreover, the credit has 2 options to extend its availability period in the form of a renewable credit line:
- 1st extension option by a subsequent 24 months at the Company’s request after 30 months,
- 2nd extension option by a subsequent 24 months at the Company’s request after 54 months.
Pursuant to the terms of the Agreement, the credit may be drawn in USD. The financial resources acquired from the credit will be used to finance general corporate purposes. Interest on the credit was set based on SOFR plus a margin, depending on the level of the financial ratio of net debt/EBITDA. Other credit terms are standard terms for these types of transactions.
The aforementioned Agreement replaces the credit agreement with Bank Gospodarstwa Krajowego from 2019, which was announced by the Company via regulatory filing no. 7/2019 dated 25 February 2019.
Furthermore, the Management Board of KGHM Polska Miedź S.A. announces that the signing of the Agreement is planned on or before 26 February 2024. If the Agreement is not signed at the aforementioned date, the Company will announce this fact in a separate regulatory filing.
Legal basis: Art. 17 (1) of MAR (Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC (Official Journal of the European Union dated 12 June 2014, no. L 173/1)