Bharat Forge Ltd. (BHFC), a maker of steel parts for the automotive, earthmoving and oil industries, hired Credit Agricole CIB and Royal Bank of Scotland Group Plc (RBS) to help it borrow $120 million in a six-year loan, according to a person familiar with the matter.
Proceeds will be used for capital expenditure and to refinance debt and the term facility will pay a so-called all-in fee of around the low-300 basis point mark more than the London interbank offered rate, the person said, asking not to be identified as details are private.
The two banks hired to arrange the loan are seeking to attract several more lenders at a senior level before marketing the facility to a wider group of banks, the person said.
Pune-based Bharat Forge has the equivalent of $237.4 million in bonds maturing before the end of 2017, according to data compiled by Bloomberg.
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