Hungarian oil and gas company MOL announced on the Budapest Stock Exchange (BÉT) Tuesday that it entered into a EUR 555 million revolving credit agreement with 15 bank groups on July 9, 2018.
The transaction was coordinated by Erste Group Bank AG and KBC Bank NV, while ING Bank NV, London Branch will act as Facility Agent, state news agency MTI reported.
MOL said it has achieved highly competitive conditions with an initial margin of 75 basis points. The agreement was arranged as a club deal with a group of partnered banks of MOL Group.
The tenor of the facility is five years, with extension options, and can be drawn in euros and U.S. dollars.
The new facility further enhances the financial profile of MOL Group via maturity profile optimization, noted the announcement.
Simultaneously with reaching the agreement, a USD 930 mln commitment is to be cancelled under the USD 1.55 bln revolving credit agreement which was originally concluded on October 30, 2014. The rest of that credit facility remains available, MOL added.