Ms. Bonita To reports
FIRST QUANTUM ANNOUNCES NEW $2.925 BILLION SYNDICATED BANK FACILITY
First Quantum Minerals Ltd. has signed a new $2.925-billion (U.S.) term loan and revolving credit facility. This new facility replaces the existing $2.7-billion term loan and revolving credit facility due to mature December, 2022. The new $2.925-billion (U.S.) facility comprises a $1.625-billion (U.S.) term loan facility and a $1.3-billion (U.S.) revolving credit facility, maturing in September, 2025. The facility is syndicated to a group of long-standing relationship banks of First Quantum.
The refinancing extends the debt maturity profile of the business and removes all material debt maturities through to April, 2023. In addition, the refinancing provides additional liquidity headroom and continues management's practice of pro-actively addressing debt maturities, and further demonstrates the company's access to a diverse range of financing sources. The refinancing includes improved financial terms and reduced financial covenants, an extended amortization schedule for the term loan facility beginning in December, 2022, and improves the financial flexibility of the company through the added liquidity.
The facility will be used to fully prepay and cancel amounts outstanding on the existing facility ($1.66-billion (U.S.) as at Sept. 30, 2021), to fully prepay and cancel a bilateral bank facility for $175-million (U.S.), and for general corporate purposes.
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