Printer Friendly

Lundin Mining to redeem 2022 senior notes early; Amends credit facility.

NORDIC BUSINESS REPORT-October 23, 2018-Lundin Mining to redeem 2022 senior notes early; Amends credit facility


Lundin Mining Corporation (STO:LUMI) (TSX:LUN), a diversified Canadian base metals mining company, announced on Monday that it has issued notice to redeem all of its 7.875% senior secured notes due 2022 on 21 November 2018.

Currently, there are USD439.2m principal amount of the notes outstanding.

Also, the company announced the execution of an amending agreement to its revolving credit facility that increases the facility to USD550m with a USD50m accordion option, reduces the costs of borrowing and extends the term to October 2022, from June 2020.

This facility amending agreement contains additional revisions, including the release of Tenke Holdings Ltd as a guarantor, deleting the total debt to tangible net worth ratio covenant and increased permitted indebtedness and liens allowances.

In addition, the facility remains undrawn, other than letters of credit issued in the amounts of SEK162.0m and EUR5.9m and bears interest on US dollar denominated drawn funds at rates of LIBOR+1.875% to LIBOR+3.00%, depending upon the company's leverage ratio.

According to the company, with this increased, extended and low-cost facility, combined with the early redemption of its 7.875% notes, it has been able to significantly reduce its borrowing costs, while maintaining substantive financial liquidity and flexibility.

The Bank of Nova Scotia and ING Capital LLC have acted as lead arrangers. The Bank of Nova Scotia continues as the administrative agent, ING Capital LLC as the syndication agent and Bank of Montreal as the documentation agent, in the syndicate, along with Bank of America N.A, Canada Branch, Societe Generale, Skandinaviska Enskilda Banken AB and The Toronto-Dominion Bank.


((Comments on this story may be sent to

COPYRIGHT 2018 Normans Media Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2018 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:Nordic Business Report
Date:Oct 23, 2018
Previous Article:NetEnt signs four year agreement with Finnish national gaming operator Veikkaus.
Next Article:Axis Communications reports increase of Canon stake to almost 98%.

Terms of use | Privacy policy | Copyright © 2020 Farlex, Inc. | Feedback | For webmasters