Singapore, 23 October 2023 – Trafigura Group Pte Ltd (“Trafigura”), a market leader in the global commodities industry, announced the closing of its new Syndicated Revolving Credit Facility (“RCF”) and Term Loan Facilities (the “Facilities”) at c. USD2.7 billion-equivalent. The Facilities were substantially oversubscribed and upsized from their initial launch amount of USD2.0 billion-equivalent, with 30 financial institutions participating in the transaction, including four new lenders.
The new Facilities comprise: a 365-day USD revolving credit facility (USD620 million); a 1-year CNH term loan facility (c. USD1,177 million-equivalent); and a 3-year USD term loan facility (USD930 million). The new Facilities will be used to refinance the maturing 3-year term loan tranche from 2020 and the maturing 1-year USD and 1-year CNH tranches from 2022, as well as for general corporate purposes.
Christophe Salmon, Group Chief Financial Officer, Trafigura, said: “We have successfully refinanced our Asian unsecured syndicated facilities with more than USD500 million in additional liquidity. This increase fully relates to the 3-year USD term loan, demonstrating robust support for the company’s strategy, governance and ability to deliver strong results through different commodity and credit cycles.”
In line with the previous two years, the Facilities were structured as sustainability-linked loans (“SLL”). As per our European RCF, this renewed SLL structure includes five key performance indicators (“KPIs”) to improve Trafigura’s sustainability performance, aligned with material issues for its business. The progress towards each target will be evaluated on an annual basis and verified by a third-party expert. A penalty or discount on the margin will be applied, depending on the number of targets met each year.
Trafigura mandated Abu Dhabi Commercial Bank PJSC, Agricultural Bank of China Shanghai Huangpu Branch, Bank of Communications Shanghai Putuo Sub-branch and Bank of Communications Co., Ltd, Singapore branch, China Construction Bank Shanghai Pudong Sub-branch, DBS Bank Ltd. (“DBS”), Development Bank of Japan Inc., First Abu Dhabi Bank PJSC (“FAB”), Industrial and Commercial Bank of China Limited, London Branch, Oversea-Chinese Banking Corporation Limited and Standard Chartered Bank (Singapore) Limited (“SCB”) as the Mandated Lead Arrangers and Bookrunners. SCB also acted as Global Coordinator of the transaction. DBS and FAB acted as Sustainability Coordinators. In total, twenty-two financial institutions joined the USD tranches of the Facilities during syndication.
The Export-Import Bank of China was the Mandated Lead Arranger and Bookrunner in connection with the CNH syndication of the Facilities. In total, fourteen banks joined the CNH tranche during syndication.
For further information please contact:
Trafigura’s Press Office: +41 (0) 22 592 4528 or email@example.com
Trafigura is a leading commodities group, owned by its employees and founded 30 years ago. At the heart of global supply, Trafigura connects vital resources to power and build the world – responsibly and efficiently. We deploy infrastructure, market expertise and our worldwide logistics network to move oil and petroleum products, metals and minerals, gas and power from where they are produced to where they are needed, forming strong relationships that make supply chains more efficient, secure and sustainable. We invest in renewable energy projects and technologies to facilitate the transition to a low-carbon economy, including through joint ventures H2Energy Europe and Nala Renewables.
The Trafigura Group also comprises industrial assets and operating businesses including multi-metals producer Nyrstar, fuel storage and distribution company Puma Energy, and our Impala Terminals joint venture. The Group employs over 12,000 people and is active in 156 countries.