Rio Tinto Obtains $7.5 Billion Credit Line to Refinance DebtStephen Morris
Rio Tinto Plc, the world’s second-largest mining company, obtained a $7.5 billion syndicated credit line to replace an existing debt facility.
The loan was provided by a group of lenders, company spokesman David Outhwaite said in an e-mailed statement. He declined to comment on the terms of the debt.
The credit line will replace the company’s existing $6 billion facility and comprises three- and five-year portions, according to data compiled by Bloomberg. The debt pays an interest margin of 30 basis points, or 0.3 percentage points, more than benchmarks for the shorter piece and 35 basis points for the other part, the data show.
Rio is rated A3 by Moody’s Investors Service, its sixth highest ranking, and an equivalent A- by Standard & Poor’s and Fitch Ratings.