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Belaruskali gets new loan on acceptable terms, Sberbank says

MINSK, 24 October (BelTA) - Sberbank CIB gave Belaruskali a $1 billion loan for a period of three years. The Belarusian company used the loan to refinance the syndicated bridge loan, BelTA learnt from the Sberbank CIB press service.

In November last year, Sberbank of Russia and the Eurasian Development Bank provided Belaruskali a syndicated bridge loan of $1 billion for one year.

In 2012, Sberbank CIB and Belaruskali were in talks harmonizing the terms of refinancing the bridge loan. The parties considered various options: pre-export financing, financing in the form of a syndicated loan, direct lending.

“As a result of the talks the parties decided in favor of the financing with integrated currency-interest swap. This scheme allowed for the interest rate acceptable for the Belarusian side,” said the Sberbank CIB press service.

“The loan deal shows a high level of professionalism of the parties, and the coherence in the work of the Russian and Belarusian teams ensured its speedy implementation,” Mr Sergei Pinchuk, Belaruskali deputy general director for economy, finance and management, commented on the deal.

“The Republic of Belarus is a strategic region for us. We are pleased that our products and services are in demand in this promising market,” Mr Alexei Grenkov, Managing Director and Head of the Division of Client Managers, Department of Corporate Clients, Sberbank of Russia, commented on the deal.

The Soligorsk-based company OAO Belaruskali is one of the world’s top manufacturers of potash fertilizers. The company was incorporated as a joint-stock company in 2012. Belaruskali accounts for about 15% of the global extraction of potash fertilizers and over 16% of the global export of potassium.

Corporate Investment Banking (Sberbank CIB) was established as part of integration of Sberbank of Russia and Troika Dialogue. The key activities of Sberbank CIB are corporate lending, investment banking and trading operations with securities, alternative investments. Sberbank CIB provides its customers, including major corporations, financial institutions, federal and sub-federal government authorities and organizations, with integrated financial solutions and financial consulting services.