Slovenske Elektrarne Said to Seek $1.1 Billion Loan Refinancing
Slovenske Elektrarne AS, the largest power company in Slovakia, is in talks with lenders as it seeks to replace an 800 million-euro ($1.1 billion) loan due next year, according to three people with knowledge of the matter.
The company, which is majority owned by Italy’s Enel SpA (ENEL), may raise debt with an export credit agency as well as with commercial banks, said the people, who asked not to be identified because the deal is private. The final structure of the facility hasn’t been decided, the people said.
The Bratislava, Slovakia-based company’s existing revolving credit facility, a type of loan where money repaid can be borrowed again, matures in September 2014, according to data compiled by Bloomberg. It paid an initial interest margin of 32.5 basis points, or 0.325 percentage points, more than benchmark rates when signed in 2007. It was arranged by Credit Agricole SA (ACA), ING Groep NV, Intesa Sanpaolo SpA (ISP) and KBC Bank NV.
Refinancing is the normal course of business for companies such as Enel and its subsidiaries, a Rome-based Enel spokeswoman, who asked not to be identified citing company policy, wrote in an e-mailed response to questions. The company doesn’t comment on specific transactions, she wrote.
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