(Updates with Rusal comment in third paragraph.)
Sept. 29 (Bloomberg) -- United Co. Rusal completed a $9.33 billion debt refinancing with lenders including OAO Sberbank, BNP Paribas SA and ING Groep, reducing the curbs on dividends that were a condition of the borrowings it replaced.
Rusal extended a $4.6 billion loan from Sberbank and agreed to borrow $4.75 billion from another 13 lenders, the world’s biggest aluminum producer said today in an e-mailed statement. The prior borrowing was part of a $17 billion debt restructuring in 2009 that imposed restrictions on payments to shareholders.
“Technically, we are in a position to pay dividends,” Vera Kurochkina, a company spokeswoman, said today by phone. “We need to refinance only $1 billion of debt now.” At the end of the first half, Rusal’s net debt totaled $11.4 billion.
Before today’s completion, Sberbank had also agreed to refinance $460 million of debt at 4.5 percent above the one-year London interbank offered rate, Rusal said in a presentation last month. A $655 million loan from OAO Gazprombank for refinancing would pay interest of 4.5 percent above three-month Libor. Both would mature in 2016, according to the presentation.
“The overall cost of our debt post-refinancing will be slightly above 4 percent per annum,” Oleg Mukhamedshin, deputy chief executive officer of the company, said this month.
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